Tuesday, March 31, 2015

Comcast mega-merger brings more cable consolidation with new Charter deal | Ars Technica

Comcast mega-merger brings more cable consolidation with new Charter deal | Ars Technica: "Another cable company merger was announced today, but it won't be completed unless the government allows Comcast to buy Time Warner Cable (TWC). Charter Communications plans to buy Bright House Networks for $10.4 billion, but the deal is contingent on Comcast's big merger. That's because Charter itself has a stake in Comcast/TWC; Charter stands to gain 1.4 million subscribers from Time Warner Cable in exchange for $7.3 billion. Comcast would also divest itself of 2.5 million subscribers with the spinoff of a new cable company called GreatLand Connections.

 If the Comcast/TWC and Charter/Bright House mergers go through, Charter would end up as the second biggest cable operator in the US behind Comcast. But all these deals could now be stopped if the Federal Communications Commission or Department of Justice blocks Comcast's purchase of Time Warner Cable. The Charter/Bright House merger "is subject to several conditions, including Charter shareholder approval, the expiration of Time Warner Cable's right of first offer for Bright House, the close of Charter's previously announced transactions with Comcast and regulatory approval," the merger announcement says."

'via Blog this'
There was an error in this gadget