Comcast and Time Warner reached definitive agreements to acquire substantially all the assets of bankrupt Adelphia Communications Corporation for a total of $12.7 billion in cash and 16% of the common stock of Time Warner's cable subsidiary. The two companies also swapped certain cable systems and unwound Comcast's 17.9% interest in Time Warner Cable and 4.7% in Time Warner Entertainment. The transactions expanded both companies' footprints and improved the geographic clustering of subscribers. The June 2006 amendment adjusted terms ahead of the July 31, 2006 closing.
Time Warner Inc. and Comcast Corporation today announced that they have reached definitive agreements to acquire substantially all the assets of Adelphia Communications Corporation for a total of $12.7 billion in cash and 16% of the common stock of Time Warner's cable subsidiary, Time Warner Cable Inc.