Q134: By the end of 2016, will Charter Communications acquire Time Warner Cable?
Yes: 30%
(A "yes" requires that the acquisition receive regulatory approval and close by the end of 2016. If Charter abandons its current bid, the question will resolve immediately as "no".)
Charter Communications, a US cable company, is planning on making a bid to acquire Time Warner Cable, a larger US cable company (see stories here and here). There seems to be some concern that the FCC might block the bid for antitrust reasons. It is also possible that Charter will abandon the bid on its own volition, or that Charter might be outbid.
From the market prices of Time Warner stock quoted in the Reuters article, the market thinks that the deal has at most a 50% chance of going through. I am giving a slightly lower estimate than that, given the short time period of this question. Some of the market price increase might be due to the potential for other, even higher bids.
No comments:
Post a Comment