Time Warner and Comcast complete Adelphia deal

Time Warner and Comcast complete Adelphia deal

Time Warner Inc. and Comcast Corp. have said in a statement that they have now completed a deal to buy the assets of bankrupt cable operator Adelphia Communications Corp.

The deal was worth around $17 billion and as part of this deal; Time Warner’s cable unit will take on 3.3 million Adelphia subscribers.

This would give the company a total of 14.4 million. Comcast would now take on 1.7 million Adelphia subscribers to get a total subscriber base of 23.3 million users.

Time Warner and Comcast would be paying the company around $12.5 billion in cash and Time Warner Cable common stock representing about 16 percent of the equity in Time Warner Cable.

With this deal, Time Warner Cable is now effectively 84 percent owned by Time Warner. Rest of the shares are now owned by Adelphia Communications Corp.