Analysts Say Rumored Disney-CBS Deal Unlikely : Acquisition: Strategic and regulatory reasons are cited as making bid for TV network hard to justify.

Rumors that Walt Disney Co. will bid to take over CBS Inc. have been making the rounds of Wall Street in recent weeks, but industry analysts said Monday that a deal is extremely unlikely.

The analysts said such a bid is improbable because the price would be too high and such a megabuck takeover would tie up Disney for years.

“We hear from independent sources that the difference between what Mr. Tisch is asking and Mr. Eisner is bidding is about $100 a share,” said Smith Barney analyst John Reidy, referring to CBS Chairman Laurence Tisch and Disney Chairman Michael Eisner.

The recurrent rumors were discussed in a skeptical Wall Street Journal story Monday. After a recent run-up in stock price, spurred in part by improved financial results, CBS fell $3.25 to close at $184.50 on the New York Stock Exchange.

Disney stock slipped 87.5 cents to $151.125.

Disney declined comment, and a spokeswoman for CBS was not immediately available.

Analysts said a takeover of CBS by Disney was unlikely for strategic and regulatory reasons.

“They’re a growth company,” Wertheim Schroder analyst David Londoner said of Burbank-based Disney, whose interests include films, cable television and theme parks.

“They really need to buy growth companies to keep growth going. If they put too much of their assets into businesses that are essentially stable (such as television networks), that doesn’t help their case,” he said.

The most recent rumors of a purported Disney-CBS deal had Disney offering $300 for each outstanding CBS share, including the 22.9% stake controlled by Tisch through Loews Corp. That would value CBS at just under $4.6 billion.

Disney holds interests in television stations in Los Angeles and New York through a 45% stake it acquired last month in Pinelands Inc.

A takeover of CBS, which also owns local stations in the two cities, would run afoul of government rules against control of more than one station by a single owner in any market.

“Why would they be combining with Pinelands if they were going to buy a network, unless they planned to sell the entire combined (Pinelands) entity?” asked Jessica Reif of Oppenheimer & Co.

“Unless there’s some master plan here to sell the two (Pinelands) stations, it doesn’t make sense,” Reif said.