AT&T Inc. is close to an agreement to acquire Time Warner Inc. for about $86 billion, people with knowledge of the matter said, a deal that would create a media behemoth that offers TV, wireless, and the content that goes with it.What do you get when you juxtapose the customer service cultures of the artist formerly known as Ma Bell with what was formerly the 2nd worst cable company in America?
The bid values Time Warner at about $110 a share -- 23 percent more than where the stock closed Friday -- and is structured as an even split between cash and equity, said the people, who asked not to be identified because the information is private. If accepted, it would cement the biggest acquisition of the year, surpassing Bayer AG’s $66 billion takeover of U.S. seed giant Monsanto Co., announced in May.
Buying Time Warner would give AT&T premium entertainment programming including HBO and the Cartoon Network, which it could offer its millions of pay-TV, mobile phone and Internet subscribers. AT&T CEO Randall Stephenson has been trying to transform the Dallas-based phone company into a media and entertainment giant, and now has one of Hollywood’s top film and TV producers in his cross-hairs.
I think that it would be fair to call this merged company the Donald Trump of communications.