Bankers Predicting Sale of DTV

theBruce

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This Fiercevideo article says Apollo Managment day both DirecTV and Dish Network would be sold to Apollo Managment and and new SatelliteTV company would be formed.


“Apollo Management reportedly suggested creating a new company and having AT&T offload DirectTV to the new company. Then, Dish Network would sell its satellite business to the new company.“
Not new news, this has been talked about since October of last year-


Private equity firm Apollo Global Management and an outside banker have proposed a deal to AT&T in which the telecom would spin off its DirecTV business while maintaining control of it, according to a Fox Business Network report.

The proposal also “essentially” calls for rival satellite TV provider Dish Network Corporation to be folded into the new, AT&T-controlled company that would be created.

Apollo would provide the transaction financing and hold a minority equity stake, along with Dish, Fox Business Network’s sources said.

The deal would net AT&T “roughly half of the $49 billion it paid for DirecTV in 2015,” but Apollo and the bankers are arguing that the benefits would outweigh the losses, according to the report.




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CSM

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Not new news, this has been talked about since October of last year-


Private equity firm Apollo Global Management and an outside banker have proposed a deal to AT&T in which the telecom would spin off its DirecTV business while maintaining control of it, according to a Fox Business Network report.

The proposal also “essentially” calls for rival satellite TV provider Dish Network Corporation to be folded into the new, AT&T-controlled company that would be created.

Apollo would provide the transaction financing and hold a minority equity stake, along with Dish, Fox Business Network’s sources said.

The deal would net AT&T “roughly half of the $49 billion it paid for DirecTV in 2015,” but Apollo and the bankers are arguing that the benefits would outweigh the losses, according to the report.




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I thought this was new because Apollo wants both DTV and Dish. Before it was Ergen keep Dish and get DTV.
 

CSM

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i thought charlie was strapped for cash after his 5G venture. i am waiting to see how many leave boost mobile once charlie gets it
If he sold Dish to Apollo that could help pay for for his 5g venture. Does Ergen see SlingTV and 5g as the future? If both Stankey and Ergen see internet streaming as the future I wonder why Apollo would want both DTV and Dish?
 
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Claude Greiner

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I am fine with whatever they do as long as Dish Network is completely out of the picture.

No more Charlie Ergen, No more Jim Defranco, none of the Dish upper management stays.

Basically none of the people I have managed to piss off over the past 8 years talking crap about them and their failing business.

I don’t even want to see AT&T involved either.

New company, new management all the way.

Let Charlie sell Dish so I can watch him fail when he tries to launch 5g
 
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Jimbo

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And WHO is this reporting this ???

Not ATT ...

As for Lay offs, that has absolutely NOTHING to do with them eventually selling D*.

ATT has lay offs EVERY YEAR ....

I've been living the Lay Off situation every year for at least the last 20 years now ...

One has nothing to do with the other ...
Just to clarify, I personally have never been laid off from them ...
 

CSM

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I saw these two new posts at the layoffs.com. Do we have to worry now if an outage or glitch happens it will take longer to fix?

@2tlf: correct, they are not renewing the leases on those data centers and therefore will not even allow a VM rebuild to occur there if one goes down.
20 hours ago by Anonymous

@2zxj+153JzXcu
For what is worth, there is NO investment in DTV data centers. They are barely maintaining the server and storage, and infrastructure equipment there.
 
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krynn

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I saw these two new posts at the layoffs.com. Do we have to worry now if an outage or glitch happens it will take longer to fix?

@2tlf: correct, they are not renewing the leases on those data centers and therefore will not even allow a VM rebuild to occur there if one goes down.
20 hours ago by Anonymous

@2zxj+153JzXcu
For what is worth, there is NO investment in DTV data centers. They are barely maintaining the server and storage, and infrastructure equipment there.
let ATT offload DTV and make the world a better place :D :rolleyes: ;).. they done nothing more than screw it up :oldmad
 

slice1900

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Not new news, this has been talked about since October of last year-


Private equity firm Apollo Global Management and an outside banker have proposed a deal to AT&T in which the telecom would spin off its DirecTV business while maintaining control of it, according to a Fox Business Network report.

The proposal also “essentially” calls for rival satellite TV provider Dish Network Corporation to be folded into the new, AT&T-controlled company that would be created.

Apollo would provide the transaction financing and hold a minority equity stake, along with Dish, Fox Business Network’s sources said.

The deal would net AT&T “roughly half of the $49 billion it paid for DirecTV in 2015,” but Apollo and the bankers are arguing that the benefits would outweigh the losses, according to the report

Surprise surprise, a private equity firm recommending an action that makes them huge fees! :rolleyes:

Netting AT&T "roughly half the $49 billion they paid" would not be a big issue - it has been generating around $1 billion in cash flow per quarter since they bought it, so if they've earned $20 billion from it and sold it for $25 billion they'd end up with only a small (for a company the size of AT&T) loss. Given the time required to make this happen a few more quarters of earnings and they might even make it into the black.

To be honest, considering how poorly such large $10 billion plus acquisitions typically perform over the long run, even a $4 billion loss would be significantly better than average for such deals...
 
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CSM

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Hertz just filed for bankruptcy because of Covid-19 and they have a lot of debit just like AT&T has. Could it be different this time then when Apollo talked about this last year?
 
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krynn

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Surprise surprise, a private equity firm recommending an action that makes them huge fees! :rolleyes:

Netting AT&T "roughly half the $49 billion they paid" would not be a big issue - it has been generating around $1 billion in cash flow per quarter since they bought it, so if they've earned $20 billion from it and sold it for $25 billion they'd end up with only a small (for a company the size of AT&T) loss. Given the time required to make this happen a few more quarters of earnings and they might even make it into the black.

To be honest, considering how poorly such large $10 billion plus acquisitions typically perform over the long run, even a $4 billion loss would be significantly better than average for such deals...
i'm hoping that AT&T wants out of the sat business.. i agree with claude on this one. they want to invent a new company. then new company and new management all the way without AT&T having any control over DTV or charlie over dish!!!
 
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krynn

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I am fine with whatever they do as long as Dish Network is completely out of the picture.

No more Charlie Ergen, No more Jim Defranco, none of the Dish upper management stays.

Basically none of the people I have managed to piss off over the past 8 years talking crap about them and their failing business.

I don’t even want to see AT&T involved either.

New company, new management all the way.

Let Charlie sell Dish so I can watch him fail when he tries to launch 5g
hell if i was charlie i wouldn't even worry about 5G. id'e retire with that bank ;). wonders how many will flee charlies mobile service :what. i have a friend and she has t-MOBILE when we goto malibu beach her phone don't work so she has to use mine :D . i have another friend that has boost mobile she's like i can't go here go there go down the street or she looses service:D:rolleyes:, i tell them they need real phone service:D:rolleyes:amen
 

CSM

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What if Apollo bought both DTV and Dish. Then they took the best DTV and Dish and formed a new satelliteTV company? They could use Dishes Hopper system, customer service and use DTV satellites and PQ. However, I forget if DTV’s satellites can work with Dishes equipment.
 

krynn

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What if Apollo bought both DTV and Dish. Then they took the best DTV and Dish and formed a new satelliteTV company? They could use Dishes Hopper system, customer service and use DTV satellites and PQ. However, I forget if DTV’s satellites can work with Dishes equipment.
i would prefer american customer service over either. iv'e saying make a hopper 3 for directv for years LOL. you would need a dtv dish and lnb. but isn't the motherboard in the hopper 3 set to different frequencies than the hoppers board then there's a software change..
 

krynn

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If he sold Dish to Apollo that could help pay for for his 5g venture. Does Ergen see SlingTV and 5g as the future? If both Stankey and Ergen see internet streaming as the future I wonder why Apollo would want both DTV and Dish?
while this is true, i say keep dish and direct for rual areas with crap internet speeds. then you have the greedy ISP'S with data caps. i can think of a few situations
 

Juan

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i'm hoping that AT&T wants out of the sat business.. i agree with claude on this one. they want to invent a new company. then new company and new management all the way without AT&T having any control over DTV or charlie over dish!!!
How do you reinvent the titanic?... paytv in general is a losing investment
 

Juan

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What if Apollo bought both DTV and Dish. Then they took the best DTV and Dish and formed a new satelliteTV company? They could use Dishes Hopper system, customer service and use DTV satellites and PQ. However, I forget if DTV’s satellites can work with Dishes equipment.
Apollo only wants to squeeze as much cash out as they can...would not be a good scenario for subs
 
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CSM

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I guess AT&T could keep DTV until the last satellite runs out of fuel and let DTV die? However, if they go that route will we see frequent outages and glitches that go unresolved for hours, until they see a lot of complaints about it? Also, channel contracts not being renewed?
 
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