The Trump administration may be more open to the Disney-Twenty-First Century Fox deal than some other proposed media mergers, billionaire investor Mario Gabelli told CNBC on Thursday.
“through my point of view, the one Great news will be of which the administration … will be more friendly towards Fox than they would likely to CNN,” Gabelli said on “Squawk Box,” referring to President Donald Trump’s adoration of Fox News as well as his loathing of CNN, which he has repeatedly called “fake news.”
Gabelli called into CNBC shortly after Disney announced a deal to pay $52.4 billion in stock for many parts of Fox, including Fox movie studios, Nat Geo, stakes in Sky as well as Hulu, as well as regional sports networks, however not Fox News Channel as well as some other Fox television broadcasting assets.
As of the latest securities filing on Sept. 30, Gabelli’s Gamco Investors owned 3.5 million Twenty-First Century Fox Class A shares as well as 2.6 million Fox Class B shares. Gamco also carries a tiny stake in Disney.
Gabelli comments about CNN came after reports last month of which the Justice Department was pushing AT&T to sell assets, including possibly the cable news network, in order to get approval for its proposed $85 billion buyout of Time Warner. The DOJ has denied those reports.
Gamco owned nearly 2.1 million Time Warner shares as well as about 1.4 million shares of AT&T, as of Sept. 30.