Dolans Bid To Take Cablevision Private For $4, 377/Sub

摘要

Taking advantage of low equity valuations in the public markets, the Dolan family 6/19 announced it would take its Cablevision cable unit private while spinning off the rest of its assets in a cash-and-stock deal valuing the entire company at $18.4 bil. Cablevision is the third cable company to revert to private ownership in less than a year. The MSOs have long been frustrated by lagging share prices and the inability to take on debt without drawing investors' ire. Under the proposed deal, Cablevision stockholders will receive $21/share in cash plus stock in Rainbow Media Holdings, worth about $12.50/share, bringing the total consideration to $33.50/share. Accounting for Cablevision's $8.5 bil. in net debt brings the total value of the assets to $18.4 bil. or 9.7x '06 CF.