Charter Urges Time Warner Cable Shareholders To Reject Comcast Deal

The Hollywood Reporter says that Charter Communications is urging shareholders of Time Warner Cable to reject a takeover bid from Comcast Communications:

Charter also argued that the Comcast deal provides "reduced and uncertain value." It explained: "The merger consideration offered in the proposed Comcast merger was claimed to be worth $158.82 per TWC share at the time it was announced. However, the value of that merger consideration has declined substantially, and based on the closing price of Comcast stock on March 27, 2014, is now worth $141.16 per TWC share. This value will continue to be exposed to negative trading patterns over the entire pendency of the proposed Comcast merger, with the risk that TWC shareholders may receive less value for their shares than calculated pursuant to the exchange ratio approved by the TWC
board on the date of the merger agreement."

Added Charter: "In contrast, the TWC board specifically demanded of Charter $160 per share, and publicly stated that they would not take a penny less than $160 and that the collar was a critical element."