AT&T in advanced talks to acquire Time Warner, source saysOctober 22, 2016 - 14:08 AMT PanARMENIAN.Net - Telecom giant AT&T is in advanced talks to acquire entertainment group Time Warner to add in-house content to distribution services, a banking source familiar with the negotiations said Friday, October 21, according to AFP. A deal possibly worth more than $90 billion could be announced as soon as Monday, the source told AFP, confirming a report in The Wall Street Journal. AT&T is the second-largest U.S. wireless carrier and third-largest cable TV provider in the United States, while Time Warner controls a valuable stable of entertainment content suppliers, including Warner Bros. film and TV studios, the HBO television production group, cable news giant CNN, and the TNT and TBS cable channels. The two parties have reached agreement on many important points, but key outstanding issues include the exact price and a breakup fee should antitrust regulators balk at the transaction, the source said. A deal could likely price Time Warner at $110 per share, or around $90 million, the person said. The deal would be structured in cash and stock, but there is a chance other prospective acquirers could step forward, the source added. A union of the two media giants, together worth more than $300 billion in market value, would be sure to face tough scrutiny from U.S. antitrust regulators because of the ripple effects across media platforms. Analysts believe the transaction also could spark other big deals involving large media companies. AT&T has pursued an aggressive expansion, paying almost $50 billion to buy satellite television provider DirectTV in 2015. Time Warner shares soared 7.8% Friday following reports of the talks. It was up another 4.9% in afterhours trade on fresh reports suggesting that the two sides were even closer to a deal. AT&T dropped 3.0% during regular-hours trading Friday, and fell another 0.7% in after-hours trade. Top stories Yerevan will host the 2024 edition of the World Congress On Information Technology (WCIT). Rustam Badasyan said due to the lack of such regulation, the state budget is deprived of VAT revenues. Krisp’s smart noise suppression tech silences ambient sounds and isolates your voice for calls. Gurgen Khachatryan claimed that the "illegalities have been taking place in 2020." Partner news Most popular in the section | Turkey extends military presence in Azerbaijan The Turkish parliament has adopted a bill submitted by Recep Tayyip Erdogan to extend the mandate of Turkish troops. Russia to begin assessing migrant workers' speaking skills Rosobrnadzor is planning to change the Russian language exam for migrant workers and include an assessment of speaking skills Armenian, Saudi Foreign Minister meet in Riyadh The two commended the positive dynamics of the development of political dialogue between Armenia and Saudi Arabia Pashinyan: Azerbaijan’s proximity shouldn’t worry border residents At the same time, he said that he “does not guarantee [the security of villagers] one hundred percent”. |