COMCAST CORP acquires Adelphia Communications (cable systems)

COMCAST CORP acquired Adelphia Communications (cable systems) for $12.7 billion in cash plus 16% of Time Warner Cable stock (Comcast + Time Warner jointly), a transaction completed in July 2006, structured as cash and stock, plus cable-system swaps. The deal was a asset purchase.

Adelphia Communications (cable systems) operates in Cable Communications, is based in United States. 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.

These transactions will serve to expand both companies' cable footprints and improve the geographic clusters of their subscribers. Importantly, consumers in areas now served by Adelphia will benefit significantly from the accelerated deployment of video, high-speed data, voice and other advanced services.

Improved geographic subscriber clusters speeding deployment of video, high-speed data and voice in formerly Adelphia-served areas. Cable Communications