Disney Insider Scandal Fuels Chatter About ABC Sale

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By Andrew Gauthier Comments

The Wall Street Journal

ABC Mickey Mouse Story The insider trading scandal that erupted at The Walt Disney Co. on Wednesday led to more speculation that the media giant is considering a sale of its ABC broadcast network, although the company denied that negotiations are taking place.

Shares of Disney rose 2.3% to $33.07 Wednesday after reports that Bonnie Hoxie, administrative assistant to Zenia Mucha, the company’s head of communications, was arrested in Los Angeles along with her boyfriend, Yonni Sebbag.

The two were charged with trying to sell insider information, including word that Disney Chief Executive Robert Iger was in “serious and advanced negotiations with two private equity firms” to sell ABC, but no price had been determined, according to the criminal complaint. More…