Shares of fuboTV Inc. (FUBO) skyrocketed 229.16% on Monday after the sports streaming service announced a transformative deal with media giant Disney (DIS). Disney will combine its Hulu + Live TV business with fuboTV, taking a 70% majority stake in the resulting company.

Under the agreement, fuboTV co-founder and CEO David Gandler will lead the combined operation, which will operate under the fuboTV name. The deal resolves fuboTV's litigation against Disney, ESPN, Fox, and Warner Bros. Discovery over their planned Venu Sports streaming service. As part of the settlement, the media companies will pay fuboTV $220 million in cash and provide a $145 million term loan in 2026.

The combination of Hulu + Live TV and fuboTV's existing services creates the second-largest internet pay-TV provider in North America. With around 6.2 million subscribers and projected revenue of $6 billion, the new entity will be well-positioned to offer more flexible programming bundles tailored to consumer preferences.

According to Gandler, the increased scale "allows us to scale effectively, strengthens fuboTV's balance sheet and positions us for positive cash flow." He highlighted plans to pursue growth strategies both domestically and internationally, while continuing to focus on sports and news content.