The rumors were true. Comcast announced Thursday that its NBCUniversal division will acquire DreamWorks animation, a studio known for hits such as Shrek, How to Train Your Dragon, Kung Fu Panda, Antz and other movies and TV shows. Comcast said it will bring DreamWorks into its Universal Filmed Entertainment Group.

The deal is worth $3.8 billion, delivering about a $1 billion premium over the company’s current $2.79 billion market cap. Shareholders will receive $41 per share, Comcast said, noting that the DreamWorks board of directors has already given the deal a thumbs-up. DreamWorks CEO and co-founder Jeffrey Katzenberg said NBCUniversal is the “perfect home for our company.” Katzenberg will serve as a consultant to NBCUniversal and chairman of DreamWorks New Media.

The deal is expected to close by the end of this year, Comcast said.