August 29, 1989 – Disney Announces Agreement to Acquire Muppets
“I have enjoyed running my own company, but now I am really excited about joining forces with Michael Eisner and the Disney organization and finding out how much more we can accomplish together for our audiences all over the world.”
On August 29, 1989, the Walt Disney Company announced that they had started negotiations with Henson Associates Inc. to acquire the Muppets. Jim Henson, creator of the Muppets, was working with Disney at the time on the new Muppet*Vision 3D attraction when the deal was discussed; under this deal, Henson would become a consultant to Disney to help develop special media pieces, such as television specials and movies. The terms of the deal were exclusive only to the Muppets and did not include characters from the Sesame Street series. Unfortunately, this deal would fall through in December of 1990, after problems arose with estate tax of Henson’s estate after his untimely passing. The merger was reopened and finally followed through in 2004.