A battle for
Looking to resist a takeover attempt by
Charter has made no secret of its desire to get bigger. Charter counts among its investors
While Charter has made no official offer, Time Warner Cable has privately indicated to Charter that it is not interested in a deal. Charter, with a market capitalization of $13 billion and about 4 million customers, is much smaller than Time Warner Cable, which has a market cap of about $35 billion and more than 11 million subscribers.
But that hasn't slowed Charter down. The Connecticut-based cable company is in advanced talks with three banks about financing a run at Time Warner Cable, the
Time Warner Cable reached out to Comcast recently hoping the Philadelphia-based operator could be a white knight and derail Charter's efforts. For Comcast, which has more than 21 million subscribers around the country already, a deal with Time Warner Cable would give it millions of customers in some of the nation's biggest markets, including Los Angeles, where it is the largest cable provider, and
There would also be programming synergies in a Comcast-Time Warner Cable deal. Comcast owns several regional sports networks and Time Warner Cable operates a
There are no
The speculation about Time Warner Cable has some analysts predicting even more consolidation in the industry. Some distributors feel that by getting bigger they will have more leverage in negotiating with large programmers such as
Time Warner Cable stock jumped 8% to $130.67 in Friday trading while Charter was up about 2% to $128.88. Comcast stock was up about 3% to $48.81.
A Charter spokesman did not return a request for comment and Time Warner Cable declined to comment.