AT&T nears take care of TPG to promote massive minority stake in DirecTV, U-verse


AT&T is nearing a deal to promote a considerable minority stake in its DirecTV, AT&T TV Now and U-Verse enterprise to non-public fairness agency TPG, in keeping with folks accustomed to the matter.

A deal might be introduced as quickly as this week, stated the folks, who requested to not be named as a result of the discussions are personal.

The deal will worth the AT&T companies round at $15 billion. AT&T acquired DirecTV in 2015 for $48.5 billion ($67 billion with debt).

AT&T has moved away from conventional pay TV up to now a number of years because it has centered its media technique round HBO Max. DirecTV, U-Verse and AT&T TV Now are primarily based round a linear TV enterprise of broadcast and cable networks that’s shedding hundreds of thousands of subscribers annually.

AT&T misplaced practically 3 million video clients final 12 months and took a $15.5 billion impairment cost as a result of firm’s reevaluation of its home video enterprise.

A sale will present AT&T will more money to pay down its debt, which stands at about $150 billion and has persistently declined by the previous 12 months.

Hedge fund Elliott Administration took an activist stake in AT&T in September 2019. In a letter to administration, Elliott requested AT&T to focus its strategic operations whereas contemplating divesting noncore property — together with DirecTV. AT&T CEO John Stankey has resisted a full sale.

TPG declined to remark. AT&T couldn’t be instantly reached for remark.

#ATT #nears #deal #TPG #promote #massive #minority #stake #DirecTV #Uverse

Source link

Leave A Reply

Your email address will not be published.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More