Comcast has reached an agreement to acquire Time Warner Cable in a deal that will have major ramifications for the cable market, as well as the media industry as a whole.
The news, first reported by CNBC's David Faber, would mark one of the largest acquisitions in history.
Comcast to buy Time Warner Cable in all stock deal worth $159 per $TWC share- sources. Deal set for tomorrow morning. Ratio is 2.875 $CMCSA.
— DAVID FABER (@davidfaber) February 13, 2014
The all-share deal would value Time Warner Cable at around $158.82 per share, a 17% premium on its Wednesday closing price of $135.51.
The deal will need to be approved by the Federal Communications Commission, which could raise questions about the effects of the deal on competitiveness in the cable industry.
Charter Communications had reportedly been working on a deal, but its offer of around $135 per share was deemed too low by Time Warner Cable.
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