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Bright House, Charter Confirm Merger Talks Ongoing

Despite earlier reports that a deal was dead, Bright House Networks and Charter Communications have confirmed that the two sides remain in ongoing talks about a merger. Charter had agreed to acquire Bright House in a $10.4 billion deal announced earlier this year, though that deal was contingent on the Comcast merger closing.

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A good-faith negotiating period that was part of the deal has been extended another thirty days, the companies say. Initially the companies wouldn't comment, but their willingness to talk suggests a deal may be imminent.

The two companies say they "remain committed to completing their previously announced transaction on the same economic and governance terms."

"We continue to be excited about the transaction with Charter," Bright House CEO Steven Miron said in a statement being circulated to the media. “We believe this combination positions the new company to become an industry consolidator and growth platform to develop innovative products in serving customers, growing market share and creating value for shareholders."

Charter issued a statement that was similarly enthusiastic about a deal getting done.

"Bright House and its employees have created a high quality service operation, and the addition of Bright House brings additional scale and strategic flexibility to Charter over time," said Charter CEO Tom Rutledge in a statement. "We look forward to completing the transaction as planned, and our teams are working together to make that happen."
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mixdup
join:2003-06-28
Alpharetta, GA

mixdup

Member

TWC

This leads me to believe an announcement for Charter/TWC is imminent. Without the Comcast deal, TWC was free to buy BHN, and TWC has right of first refusal on BHN.

I doubt TWC wants to just tread water, so if they're not interested in getting bigger themselves this would be an indicator to me that they are ready to sell to the next guy (Charter)

motorola870
join:2008-12-07
Arlington, TX

motorola870

Member

Re: TWC

said by mixdup:

This leads me to believe an announcement for Charter/TWC is imminent. Without the Comcast deal, TWC was free to buy BHN, and TWC has right of first refusal on BHN.

I doubt TWC wants to just tread water, so if they're not interested in getting bigger themselves this would be an indicator to me that they are ready to sell to the next guy (Charter)

or TWC can't put in a bid as it is an exclusive window between Charter and BHN. Also TWC may let Charter buy Bright House as a gift to get them to back off or they may sell a few markets to Charter as well but probably not the entire company.

mixdup
join:2003-06-28
Alpharetta, GA

mixdup

Member

Re: TWC

said by motorola870:

TWC can't put in a bid as it is an exclusive window between Charter and BHN.

TWC's right of first refusal would trump that. Bright House can't enter into an agreement that would override TWC's rights under the TWEAN partnership. If Charter buys BHN, it will be with TWC's explicit permission.

And I don't see TWC selling off part of the company. Maybe they do some swaps, but Charter's management is right. Cable needs to scale up, not down.