VIDEO: Disney Chairman Robert Iger Announces Lucasfilm Acquisition

Yesterday, Disney announced that it has agreed to acquire George Lucas' Lucasfilm Ltd, and that includes complete rights for the Star Wars franchise. The companies have also announced a target for a 2015 release for Star Wars: Episode 7. The stock and cash transaction is worth an estimated $4.05 billion. Kathleen Kennedy, current co-chair of Lucasfilm, will become Lucasfilm's president, reporting to Walt Disney Studios chair Alan Horn. Watch Robert A. Iger, Chairman and Chief Executive Officer of The Walt Disney Company, make the official announcement below!

Under the terms of the agreement and based on the closing price of Disney stock on October 26, 2012, the transaction value is $4.05 billion, with Disney paying approximately half of the consideration in cash and issuing approximately 40 million shares at closing. The final consideration will be subject to customary post-closing balance sheet adjustments.

Under the deal, Disney will acquire ownership of Lucasfilm, a leader in entertainment, innovation and technology, including its massively popular and "evergreen" Star Wars franchise and its operating businesses in live action film production, consumer products, animation, visual effects, and audio post production. Disney will also acquire the substantial portfolio of cutting-edge entertainment technologies that have kept audiences enthralled for many years. Lucasfilm, headquartered in San Francisco, operates under the names Lucasfilm Ltd., LucasArts, Industrial Light & Magic, and Skywalker Sound, and the present intent is for Lucasfilm employees to remain in their current locations.