Twitter stock rises on Disney, ESPN content deal

Twitter shares jumped in trading on Monday after Walt Disney Co. announced it would partner with the social media platform for a live-content and advertising agreement.

Under the deal’s terms, Twitter will broadcast shows featuring content and personalities from across Disney’s entertainment properties, including ESPN, ABC, Disney Channel and Marvel comics. Twitter and ESPN are set to announce specifics later Monday and on Wednesday at their “NewFront” media presentation on some of the live shows that will stream on the social media service.

Twitter’s stock rose as much as 5% to session highs in trading after the announcement. Shares are up more than 15% so far this year.

“To innovate at this scale with The Walt Disney Company is a huge step forward in expanding the depth and breadth of video content we offer to leaned in, engaged consumers on Twitter,” Twitter Global Vice President of Revenue and Content Partnerships Matthew Derella said in a press release. “The Twitter sports community is the digital roar of the crowd, so there is no better place to start than with ESPN to deliver credible, premium content to enrich that conversation.”

The partnership came as numerous social media and streaming platforms pour resources into live content. Facebook has invested heavily in its “Watch” streaming platform in recent months through deals with Major League Baseball, Major League Soccer and other prominent sports leagues. Amazon recently agreed to extend its deal to air simulcasts of  NFL’s “Thursday Night Football” through the 2019 season.

ESPN launched a premium streaming service “ESPN+” last month. Disney is set to unveil a new subscriber-based streaming platform for other properties, including Marvel and Star Wars, in 2019.