AT&T To Buy DIRECTV for $67 Billion

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Maybe it's DirecTV that should have bought AT&T instead of the other way around.
On paper, AT&T rakes in about five times what DIRECTV does and their outstanding shares suggest a similar size relationship. The smaller company rarely comes out on top in a buy-out, much less a merger.
 
tl;dr: we're black so you have to carry our channels.

No really.

From the article:

The plaintiffs allege that this purported refusal to carry the company's channels unless forced to do so by the government is an “admission of racial discrimination in contracting and represents a deep form of institutionalized racism” in violation of the Civil Rights Act.
 
Why Buffett Repurchased Shares Of DirecTV
Dec. 23, 2014 12:06 PM ET | About: DIRECTV (DTV)
Summary

It is interesting that Warren Buffett reduced his stake in DirecTV during Q2, but increased it by 28% during Q3, after the announcement of the takeover by AT&T.
This article calculates the profit for DTV shareholders for different moves in AT&T's stock price.
The results show that there is significant profit to be made in the next six months, with great downside protection.
DirecTV shareholders will start losing money only if AT&T declines more than 10%, i.e., below $30.
http://seekingalpha.com/article/2776385-why-buffett-repurchased-shares-of-directv?uide=8461831 Please move to right section if I put in wrong place and sorry!! thanks :)
 
I seen articles where the cellular companies are looking into providing video from the cell towers to mobile phones and tablets with a new chip that will be in most devices at the end of 2014 or sometime in 2015. Perhaps a Directv dish can be placed on the towers to receive the signal and then the channels be injected into the towers to a different frequency used than the voice and data.
 
Is AT&T Harming DirecTV Shareholders?
Dec. 24, 2014 3:50 AM ET
Summary

The AT&T and DirecTV deal isn't set to be finalized until next year.
AT&T is potentially the big bidder at the AWS-3 spectrum auction that could harm the valuation ultimately obtained by DirecTV shareholders when the deal closes.
The domestic wireless pricing wars and wireless spectrum auctions continue to dilute the potential windfall for DirecTV shareholders.
http://seekingalpha.com/article/2778195-is-at-and-t-harming-directv-shareholders?uide=8461831
 
Backing Into AT&T Using DirecTV, Is It Worth It?
Jan. 20, 2015 12:19 AM ET | About: AT&T Inc. (T), DTV

Disclosure: The author is long T. (More...)
Summary

AT&T announced its plan and terms to acquire DIRECTV last year.
The deal is expected to close this year, but still faces approval.
This article looks at the value proposition if the acquisition goes through.
http://seekingalpha.com/article/283...27g7:1abue0l:242e1d2d7cf8655763051ec63f79db24
 
Federal case on documents could delay AT&T-DTV
Feb 20 2015, 17:03 ET | About: Comcast Corporation (CMCSA) | By: Jason Aycock, SA News Editor
http://seekingalpha.com/news/231527...5:6a304dd5ac071dabfee05f13535e7c87#email_link
Delays may be in store for two very high profile mergers -- , AT&T (NYSE:T) with DirecTV (NASDAQ:DTV) -- as a federal court weighs a dispute over an FCC decision to provide deal opponents access to sensitive documents.
Content companies are arguing that letting merger opponents like Dish Network (NASDAQ:DISH) see hundreds of thousands of pages on their programming-negotiation pricing and strategies "would be highly damaging."
Content lawyer Robert Long says the FCC is "totally unprecedented" in providing the docs; the FCC responds that strong protections are in place and the details about buying power in programming are important in getting informed third-party input to consider approving the deals.
Judges reacted with skepticism toward the FCC's argument, but with no inkling of when they might rule, the timetable for the mergers may have to move later.

More on an AT&T/DirecTV deal http://seekingalpha.com/news/search?query=AT&T+DTV
 
AT&T's $49B DirecTV buy heads into final innings
Apr 7 2015, 11:49 ET | About: AT&T Inc. (T) | By: Jason Aycock, SA News Editor

As expected, AT&T's (NYSE:T) $49B purchase of DirecTV (NASDAQ:DTV) is headed for an easier approval than Comcast's takeover of Time Warner Cable -- and the AT&T deal may wrap before April is through, with a few "action packed" weeks ahead, says Morgan Stanley's Simon Flannery.
Flannery sees limited opposition to the deal, though he does warn about risks including AT&T's leverage in the deal and its recent $18B purchase of wireless spectrum.
But the purchase may have taken too long -- way too long in coming, says analyst Craig Moffett, since the deal is "oh so 2005."
"There was a certain logic to it at the time," Moffett says, pointing out that buying a satellite distribution arm would have been better 10 years ago, when Verizon was building a future-proof fiber network and AT&T's network limitations were clear even then.
"Don't get us wrong. DirecTV is a well-run asset," Moffett writes, "with a sterling brand and strong management, and the company's free cash flow will clearly help sustain AT&T's dividend. But it is hard to make the case for genuine strategic fit between the two companies." http://seekingalpha.com/news/241312...f:902c761a42d95fab7215238794113b56#email_link
 
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I wonder what this will mean for the channels lineup. (Merge?)


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I guess it's just speculation for now

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DirecTV on average has some of the best service besides a few little policy kinks on equipment and some other things.

Regardless, there isn't anyone better in their market so customer service will take a dive and it will likely start with the account discounts getting tighter.

Prices rise so that isn't a shock. This merger was never about lower end user prices. In today's stock market focused society that means cost savings go to the bottom line. Especially in a low to negative growth industry.
 
You guys still think that when this all is said and done that ATT employees will just start doing D* installs and repairs ...
Over time, maybe, but I doubt its gonna happen anytime soon, they are not gonna just say, hey all you D* employees take a hike.

Prices rise way too much with D* already, so this has nothing to do with ATT either.

My package has basically stayed the same over the years, I now pay about $ 80 for programming, the same programming that I paid $ 40 when I started.
 
Cox Pushes AT&T/DirecTV Conditions
Cox executives met with FCC officials this week to hammer home their point that the proposed AT&T/DirecTV poses threats to competition and should only be granted if the FCC addresses that anticompetitive potential through targeted conditions, including holding them to the same basic service tier requirements that apply to cable ops.

Citing a "troubling and unprecedented combination of wireline, wireless, and satellite assets," Cox said that the deal would need "narrow conditions" but also "strict limits" on the combined company's ability to "use its nationwide scale and massive size to engage in unfair competitive practices."

broadcastingcable.com
 
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