Charter Communications announces acquisition of Time Warner Cable
05/26/2015 10:06 AM
Charter Communications is announcing an acquisition of Time Warner Cable and Bright House Networks.
The deal, valued at more than $55 billion to acquire Time Warner Cable comes as Charter also seeks to acquire a majority share in Bright House, a small cable provider, for $10 billion.
Including Time Warner’s debt the deal is valued at nearly $79 billion.
The news comes after a proposed merger between Comcast and Time Warner Cable fell apart under scrutiny from the FCC and Department of Justice.
In a statement Federal Communications Commission Chairman Tom Wheeler said that the FCC “reviews every merger on its merits and determines whether it would be in the public interest.”
“In applying the public interest test, an absence of harm is not sufficient,” Wheeler said. “The Commission will look to see how American consumers would benefit if the deal were to be approved.”
If the merger is approved Charter will be renamed, “New Charter.”
“With our larger reach, we will be able to accelerate the deployment of faster Internet speeds, state-of-the-art video experiences, and fully featured voice products, at highly competitive prices,” said Charter’s chief executive, Thomas Rutledge, in a statement sent to multiple media outlets Tuesday.
“In addition, we will drive greater competition through further deployment of new competitive facilities-based WiFi networks in public places, and the expansion of the facilities footprint of optical networks to serve the large, small and medium sized business services marketplace.”
According to ‘The Hill’ the companies expect the deal to be completed by the end of the year.
Time Warner Cable is the parent company of cn|2.
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