AT&T / Time Warner Merger

[RenoJay]

I heard today that the DOJ approved AT&T acquiring Time Warner. Boy, that sure brings back memories of the last time a company...America Online...acquired Time Warner. It marked the top of the late 90's bull market and represented the worst merger in history. But I'm sure nothing could possibly go wrong this time.

 

[Freedom56]

AT&T will be the king of debt after the merger with over $175B. The question is will the rating agencies downgrade the AT&T debt now or after they issue new bonds. The bond funds will plow other peoples money into this debt. Who cares it's diversification right? This merger makes no sense just like the last one with Directv where they paid far too much are are now facing subscriber losses. This merger is a distraction from their underlying problems. I would expect AT&T stock and bonds to fall after this approval.

 

[Masquernom]

And there goes my cable competition. Those are the only two suppliers in my city right now. You have to switch between them once a year to get the teaser rate. Guess I better budget more for cable in the future....

 

[ncbill]

And there goes my cable competition. Those are the only two suppliers in my city right now. You have to switch between them once a year to get the teaser rate. Guess I better budget more for cable in the future....

Not cable, media.

Charter already acquired TimeWarner Cable and rebranded the combined company as Spectrum.

 

[Bamaman]

I just remember when both companies so dominant in their fields. Deregulation in communications and competition in broadcasting has made both companies just shadows.of what they once were.

I just don't understand how combining two seriously underperforming companies can produce a good company.

 

[aaronc879]

All of that debt yet they will still be paying a 6% dividend? Can it last?

 

[audreyh1]

Not cable, media.

Charter already acquired TimeWarner Cable and rebranded the combined company as Spectrum.

Thanks for that clarification.

 

[joeea]

And there goes my cable competition. Those are the only two suppliers in my city right now. You have to switch between them once a year to get the teaser rate. Guess I better budget more for cable in the future....

Those two were not competitors.

You are likely thinking of AT&T and Spectrum.
The Time Warner in the merger is Time Warner Media, not Time Warner Cable.

 

[truenorth418]

Cut the cord. Learn to live without cable TV. Problem solved!

 

[Henry Lili]

With legal field now clear. Comcast makes a formal bid for Fox . Disney will counter. Not sure, but seems like old school capitalism ......which allowed many of those here to FIRE.