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Horizontal integration
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== Examples == An example of horizontal integration in the food industry was the [[Heinz]] and [[Kraft Foods]] merger. On 25 March 2015, Heinz and Kraft merged into one company, with the deal valued at $46 billion.<ref>{{Cite news|url=https://www.nytimes.com/2015/03/26/business/dealbook/kraft-and-heinz-to-merge.html |title=Kraft and Heinz to Merge in Deal Backed by Buffett and 3G Capital|newspaper=The New York Times|date=25 March 2015|last1=Gelles|first1=David}}</ref><ref name=heinz>{{Cite web|url=https://time.com/3770785/heinz-kraft-merger/|title = Why You Should Pay Attention to the Heinz/Kraft Merger| date=3 April 2015 }}</ref> Both produce processed food for the consumer market. On 9 December 2013, [[Sysco]] agreed to acquire [[US Foods]] but on 24 June 2015, the federal judge ruled against the deal saying that such merger would control 75% of the U.S. foodservice industry and that will stifle competition.{{r|sysco}} It would have been horizontal integration, as both distribute food to restaurants, healthcare, and educational facilities. On 16 November 2015, [[Marriott International]] announced that it would acquire [[Starwood Hotels and Resorts|Starwood]] for $13.6 billion, creating the world's largest hotel chain.<ref>{{cite news |url=https://www.bizjournals.com/washington/morning_call/2015/11/marriott-international-to-acquire-starwood-hotels.html |title=Marriott International to acquire Starwood Hotels & Resorts Worldwide in $12.2 billion deal |last=Nycz-Conner |first=Jennifer |work=[[American City Business Journals]] |date=16 November 2015}}</ref> The acquisition was finalized on 23 September 2016.<ref>{{cite news |url=https://www.usatoday.com/story/travel/roadwarriorvoices/2016/09/23/marriott-starwood-merger-complete-and-loyal-customers-get-reciprocal-benefits/90885318/ |last=Trejos |first=Nancy |title=Marriott, Starwood merger is complete, loyalty programs will reciprocate |work=USA Today|date=23 September 2016 |access-date=24 September 2016}}</ref> The AB-Inbev acquisition of SAB Miller for $107 Billion, which completed in 2016, is one of the biggest deals of all time.<ref>{{Cite web |url=https://www.forbes.com/sites/taranurin/2016/10/10/its-final-ab-inbev-closes-on-deal-to-buy-sabmiller/ |title=It's Final: AB InBev Closes on Deal to Buy SABMiller|website=[[Forbes]] }}</ref> On 1 November 2017, [[Centurylink]] bought [[Level 3 Communications]] for $34 billion, and incorporated Level 3 as part of Centurylink.{{fact|date=June 2024}} On 14 December 2017, [[The Walt Disney Company]] announced that they were to [[Acquisition of 21st Century Fox by Disney|acquire]] [[21st Century Fox]] for $52.4 billion in stock, which included the famed [[20th Century Studios|20th Century Fox]] [[film studio]], [[FX (TV channel)|FX Networks]], and a 30% stake in [[Hulu]]. Both companies produced and distributed films and television series, as well as each owning a 30% stake in Hulu.<ref name="st">{{cite news|last=Nolter|first=Chris|title=Disney Acquires Most of Fox's Assets in Blockbuster $52.4 Billion Stock Deal |url=https://www.thestreet.com/story/14420470/1/disney-acquires-fox-assets-blockbuster-deal.html |work=[[TheStreet.com]] |date=14 December 2017 |access-date=15 December 2017|url-status=live|archive-url=https://web.archive.org/web/20171215000518/https://www.thestreet.com/story/14420470/1/disney-acquires-fox-assets-blockbuster-deal.html|archive-date=15 December 2017}}</ref> Due to Disney's ownership of [[American Broadcasting Company|ABC]], the acquisition did not include the [[Fox Broadcasting Company]], as the [[Federal Communications Commission]]'s rules prohibited a single company from owning multiple of the four major broadcast networks; the Fox Broadcasting Company was instead planned to be spun-off into a new company tentatively named "New Fox".<ref>{{Cite news |url=https://variety.com/2017/politics/news/disney-fox-antitrust-1202631193/ |title=A Disney-Fox Deal Would Land at an Uncertain Moment for DOJ Review of Big Media |last=Johnson |first=Ted |date=December 5, 2017 |work=Variety |access-date=December 15, 2017 |url-status=live |archive-url=https://web.archive.org/web/20171215111505/http://variety.com/2017/politics/news/disney-fox-antitrust-1202631193/ |archive-date=December 15, 2017}}</ref> The acquisition closed on March 20, 2019, for an [[Acquisition of 21st Century Fox by Disney#Bidding war between Disney and Comcast (May–July 2018)|increased cash-and-stock offer]] of $71.3 billion;<ref>{{Cite web |url=https://www.hollywoodreporter.com/news/disney-closes-fox-deal-creating-global-content-powerhouse-1174498 |title=Disney Closes $71.3 Billion Fox Deal, Creating Global Content Powerhouse |last1=Szalai |first1=Georg |last2=Bond |first2=Paul |date=March 20, 2019 |website=The Hollywood Reporter |url-status=live |archive-url=https://web.archive.org/web/20190320064742/https://www.hollywoodreporter.com/news/disney-closes-fox-deal-creating-global-content-powerhouse-1174498 |archive-date=March 20, 2019 |access-date=March 20, 2019}}</ref> the assets that were not acquired by Disney, including the Fox Broadcasting Company, were spun-off into [[Fox Corporation]].<ref>{{Cite web |url=https://variety.com/2019/biz/news/fox-corporation-debut-disney-murdoch-1203165925/ |title=Fox Corporation Emerges as Standalone Entity, Paul Ryan Joins Board |last1=Littleton |first1=Cynthia |last2=Steinberg |first2=Brian |date=March 19, 2019 |website=Variety |url-status=live |archive-url=https://web.archive.org/web/20190319121738/https://variety.com/2019/biz/news/fox-corporation-debut-disney-murdoch-1203165925/ |archive-date=March 19, 2019 |access-date=March 19, 2019}}</ref>
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