Why did the sale to Voom HD LLC Fail?

[jame_g]

Why did the sale to Voom HD LLC fall through? Do we take it at face value, or is there more going on behind the scenes. Seems that even Satellite Guys and some of their inside contacts were caught off guard....

 

[ComcastOgre]

I really doubt that Charles Dolan had the longterm financing he needed to keep Voom HD afloat. I don't doubt he had some financing to make it last for maybe 6 months to a year at the most, but what beyond that?

 

[1080iBeVuMin]

I vote there is something else going on.

At this point I have no idea what it is.

 

[mike123abc]

It is probably an argument over what obligations VOOM LLC is "buying". CVC probably wants every possible liability to be covered by VOOM LLC. VOOM LLC probably does not want certain liabilities. The two sides do not agree and negotiations are not going smoothly. Other issues probably include the cost of CVC services to VOOM like uplinking, rental of R-1 until everyone has an R-2 dish, CVC staff to help with the transitions, etc.

This is not a simple deal. It is a very complex one that will take a lot of negotiating.

 

[danielle_s]

I agree with Mike, I'm just wondering what cablevision's intentions was on releasing that press release then?

 

[zombie]

It fell through cuz the spoiled little brat is trying to show his father he can do something on his own. I still dont doubt Chuck will keep trying..

 

[rtt2]

I wonder if the financing jepordized CVC and its assests. Remember the board has to look out for the best interest of the shareholders. If Chuck had risky finacing of a half assed plan than the board would be obligated to reject it in order to look ot for CVC.
If it was a sale of CVC it would be one thing but something crazy would be another story.

 

[zombie]

Not sure why they would care. Once Chuck and Tom took over CVC would be rid of voom.

 

[jame_g]

They would care because if Chuck sold all/most of his CVC shares it would give the purchasing company a controlling interest in Cablevision. That would potentially have a large impact to the company, board, executives, and shareholders. Speculation is that most of the financing will be from sale of his CVC stock.

 

[danielle_s]

selling his share would give him speculativly most if not all of the money that he needed, but now that the board has regected his offer in good faith, there is nothing stopping dolan from just selling his shares in the morning to TWC OR anyone else and just picking up VOOM on his way out the door.

 

[zombie]

selling his share would give him speculativly most if not all of the money that he needed, but now that the board has regected his offer in good faith, there is nothing stopping dolan from just selling his shares in the morning to TWC OR anyone else and just picking up VOOM on his way out the door.

With the added benefit of the slap in the james's face.

 

[danielle_s]

I don't understand why anyone is voting for dolan didn't have funding (1). It was stated in the press releases that he did have the funding in place. We all know that cvc doesn't want voom, and the stock reflected that. The stock also went up when the letter of intent was made as well stating that the market agreed that cvc should sell what was left of rainbow dbs to voom hd, llc.

Personally none of this makes any sense, but hopefully we'll know more info tomorrow. It seems that cvc has been having a board meeting every tuesday for the past couple of months. Maybe something will come out of that meeting.

 

[Vicki]

I voted for negotiation ploy (on both sides), wish I could have also voted for things going on behind the scenes, because I feel sure they are...but don't have the foggiest notion just how much they encompass.

 

[rkr0923]

one would think 200 million in the hole had a alot to do with it. reminds me of the movie "Money Pit". Voom has lost money since day one...........who would want to buy any company in such shambles

 

[voomvoom]

Something else is going on.... I can't tell you what, or I'd have to kill you....

 

[bigmarkhd]

Something else is going on.... I can't tell you what, or I'd have to kill you....

my gut feeling is that this is all a pr scandal and well looks whats happnen its working if you have not noticed.There getting more and more people involved and word of mouth is the best way to promote something.We are all gonna be mega vooming sooner than you think.If things were so bad why would they switch us to that harmonic thing.Who knows only the sorpranos i mean the dolans know...