Disney could start share buy-back scheme

NEW YORK - Disney could become the latest US media company to buy back a block of shares as it tries to restore confidence in its stock in the aftermath of last Tuesday's tragic terrorist attack.

Goldman Sachs is reported to have be selling at least 135m shares in the Walt Disney Company for $15 (£10.29) a share.



If Goldman Sachs sells 135m Disney shares, they would be worth more than $2bn (£1.4bn). Shares in the motion picture and TV giant slid 11.3% to $16.41 (£11.20) yesterday afternoon.



The news follows comments from Viacom on Tuesday that it will continue with a $2bn (£1.4bn) share repurchase scheme it started in February. It is said that a number of US companies are considering share buy-back plans to help boost confidence in US markets.



TV and media companies have been particularly hard hit because they were suffering from a slowdown in advertising revenues before the terrorist attack.




If you have an opinion on this or any other issue raised on Brand Republic, join the debate in the .