Comcast has agreed to take in Time Warner Cable in the latest corporate merger over in the U.S., where this agreement happens to be a friendly, stock-for-stock transaction. In this particular merger, Comcast will pick up every single bit of Time Warner Cable’s 284.9 million shares which amounts to roughly $45.2 billion where equity value is concerned, and each Time Warner Cable share will be exchanged for 2.875 shares of CMCSA, equal to Time Warner Cable shareholders who happen to own around 23% of Comcast’s common stock. This particular transaction is said to generate around $1.5 billion in operating efficiency, and it will also be tax free to Time Warner Cable shareholders. There is one major talking point about this particular transaction – it will hopefully manage to create a leading technology and innovation company, where it leverages on a national platform while offering ground-breaking products, creating operating efficiencies and economies of scale.
Comcast And Time Warner Cable Merged original content from Ubergizmo.