The Walt Disney Company announced Tuesday that it has purchased Lucasfilm for $4.05 billion in cash and stock.
Disney is paying approximately half the price in cash and will issue 40 million shares of stock on Tuesday.
Under the deal, Disney will acquire ownership of Lucasfilm , including its massively popular Star Wars franchise and its operating businesses in live action film production, consumer products, animation, visual effects, and audio post production.
Kathleen Kennedy, current co-chairman of Lucasfilm, will become president, reporting to Walt Disney Studios chairman Alan Horn.
Kennedy will also serve as executive producer on a new Star Wars film, which is targeted for a 2015 release, with George Lucas serving as a creative consultant.
"Lucasfilm reflects the extraordinary passion, vision, and storytelling of its founder, George Lucas," said Robert Iger, chairman & CEO of The Walt Disney Company. "This transaction combines a world-class portfolio of content including Star Wars, one of the greatest family entertainment franchises of all time, with Disney's unique and unparalleled creativity across multiple platforms, businesses, and markets to generate sustained growth and drive significant long-term value."