Monday, December 16, 2013

Charter Ready To Buy Time Warner Cable

Charter has a number in mind and it might not match what Time Warner Cable wants.  Whether they can find common ground or a low ball bid encourages a counter bid by another remains to be seen.  Perhaps Cablevision might be willing to prop up the bid with Charter in exchange for a big piece, say the NYC DMA.  Or perhaps Charter truly believes that given the continual loss of basic subscribers, Time Warner Cable's future earning potential could decline.  Still the value is in the infrastructure and the opportunity to gain more cost efficiency and more reach for broadband and wireless business opportunities.  And given the possible low initial bid, this acquisition process may take some time to close. 

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