AT&T closes on Time Warner acquisition
HBO, CNN, TNT and a whole bunch of other letters are now under the ownership of a company best known by the four characters AT&T. The company now controls Warner Bros. and the Turner Networks as well as several other properties.
The telecom has closed on its controversial acquisition of media giant Time Warner. The move came shortly after a federal judge shut down the Department of Justice’s lawsuit to block the deal for anti-competitive concerns — the judge even told the department to not bother appealing the case, though it still has up to two months to do so.
If the agency had applied for a stay of the decision, which would have almost definitely delayed the deal’s closure past June 21, AT&T would have been obligated to give concessions to Time Warner.
Reuters reports that the deal, worth $85 billion, is the fourth largest buyout in the involving telecom and media companies and the 12th largest in all of business.
While Verizon has been picking up online media properties to bolster its internet ad serving revenue, AT&T earlier picked up satellite TV provider DIRECTV and has now picked up its first television and film company. Industry watchers predict that other telcos will follow suit in searching out other producers to acquire.
Just yesterday, Comcast had openly bid $65 billion to buy the film and TV assets of 21st Century Fox, beating a December offer from Disney of $52.4 billion.