Warner Bros., the parent company of the Avengers movie franchise, has agreed to pay $1 billion to acquire the rights to the superhero movie studio Marvel, according to people familiar with the deal.
The company also has agreed not to sue Marvel for infringement of its copyrights, the people said.
The deal, announced Wednesday, will be announced on Thursday.
Warner Bros.’ financials show that the company has more than $7.3 billion in cash and equivalents, according the People Business Daily, and $724 million in long-term debt.
Marvel Studios, which is owned by Disney, has not disclosed its total revenues or net income.
The acquisition will give Warner Bros a larger presence in the movie business, people familiar of the matter said.
Warner will also gain access to Marvel’s existing intellectual property, which will help the company expand its distribution and distribution channels.
Marvel currently has studios in California, London, and Los Angeles.
The move is the latest move in a long line of acquisitions by Warner Bros.: It bought The Amazing Spider-Man in 2009 for $2.4 billion, the Avengers franchise in 2012 for $4 billion and the live-action live-Action TV show The Lego Movie for $3.5 billion.