Home Cable HD Charter Spectrum Charter to expand in Comcast-Time Warner Cable Deal

Charter to expand in Comcast-Time Warner Cable Deal

CHARTER COMMUNICATIONS, INC. LOGOThis morning Charter and Comcast announced a three-part deal that effectively expands Charter’s geographic footprint and adds approximately 3.9 million customers to their subscriber base. Back in February, Comcast announced its intention to purchase Time Warner Cable which would make the company by far the largest cable company in the US. However, Comcast would need to reduce subscribers to less than 30% of the market share nationwide to pass regulations. The deal(s) announced today would divest 3.9 million subscribers post-merger. But, it’s a bit more complicated than just one transaction.

The first transaction would be a direct sale of 1.4 million Time Warner Cable subscribers to Charter Communications for cash. The deal would bring Charter’s subscribers to approximately 5.7 million.

The second transaction would be an exchange of approximately 1.6 million subscribers between Comcast-Time Warner Cable and Charter based on geographic locations in order to improve the efficiency of both companies.

The third transaction would be the formation of a spinoff company (not yet named) that would serve 2.5 million existing Comcast subscribers. The proposed public company would be run by a nine-member Board of Directors consisting of six independent directors and three directors designated by Charter. The spinoff company would be 67%-owned by Comcast shareholders (including former Time Warner Cable shareholders) and 33%-owned by the New Charter. Comcast would not own the new company nor would play a role in managing it.

The transactions announced today will provide Charter with greater scale, growth opportunities and improved geographical rationalization of our cable systems, which in turn will drive value for shareholders and more effective customer service,” said Tom Rutledge, President and Chief Executive Officer of Charter Communications.

Jeff Chabothttps://hd-report.com
Jeff has a background in photography, video and television production. He writes about technology, broadcasting, home theater, and digital entertainment.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

4k TV Deals

Hot Pre-orders!

The Lord of the Rings: The Motion Picture Trilogy 4k Blu-ray
The Hobbit: Motion Picture Trilogy 4k Blu-ray
Game of Thrones: The Complete Series 4k Blu-ray

1-Month Free!

Hot Blu-rays!

New Articles

Blumhouse’s The Craft: Legacy Releases to Digital. Here’s Where To Buy.

The sequel to Blumhouse's The Craft (1996), Blumhouse's The Craft: Legacy (2020) written and directed by Zoe Lister-Jones has been released to digital formats...

Love and Monsters releasing to Blu-ray, 4k Blu-ray & DVD

Paramount Pictures' Love and Monsters (2020) is already available to rent and purchase in digital formats but will also release to disc formats including...

Sony’s PS5 4k Blu-ray Movie Essentials Releasing in December

Sony is releasing a batch of eleven 4k Blu-ray titles under the banner "PS5 4k Movie Essentials" starting on Dec. 1, 2020. The new...

New Movie & TV Releases on Blu-ray, 4k Blu-ray & Digital Oct. 27, 2020

Here are our Top 5 Picks of movie and TV releases for the week of Oct. 27, 2020! Criterion Collection has produced a new 4k...

Support Us!