An ambitious deal may be brewing in the US cable industry, creating a behemoth carrying nearly $125 billion of debt. If Spectrum Internet owner Charter Communications Inc. wants to formalize a takeover of billionaire Patrick Drahi’s Altice USA Inc., it needs to be sure the benefits are worth the considerable financial stretch. The dilemma is that passing on a transaction carries risks of a different kind.

Charter’s stock and bond investors reacted nervously last month when Bloomberg News reported that management was weighing an offer for the US slice of Drahi’s telecoms empire. The company already carries nearly $100 billion of net debt. Its main shareholder is Liberty Broadband Corp., a vehicle of cable tycoon John Malone, himself no stranger to leverage.

QOSHE - What’s Another $25 Billion on $100 Billion of Debt? - Chris Hughes
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What’s Another $25 Billion on $100 Billion of Debt?

5 4
05.03.2024

An ambitious deal may be brewing in the US cable industry, creating a behemoth carrying nearly $125 billion of debt. If Spectrum Internet owner Charter Communications Inc. wants to formalize a........

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