Comcast and Cox to Buy Liberate Business

Comcast Corp., the world’s largest cable television operator, and Cox Communications Inc. on Monday agreed to buy Liberate Technologies Inc.’s North American business for about $82 million to add software for digital cable systems.

Comcast, based in Philadelphia, is majority owner of the joint venture -- called Double C Technologies -- that is buying the assets, according to Liberate, which is based in San Mateo, Calif. Cox, the nation’s third-largest cable television operator, holds a minority stake.

The joint venture will offer jobs to about 130 of Liberate’s employees, mostly in Canada. Liberate, which makes software for television set-top boxes, will retain its European business.

The deal “enables us to continue to work with Liberate on our interactive-television project,” said David Grabert, a spokesman at Cox. Tim Fitzpatrick, a spokesman at Comcast, confirmed the acquisition.

The sale of Liberate’s North American operations won’t be complete until the company drops its pursuit of a bankruptcy case. In September, Liberate’s bankruptcy petition was dismissed after the court said the company had enough cash to cover liabilities. Liberate said it planned to file a motion in the U.S. District Court for Northern California to drop its appeal of that decision.

Shares of Liberate rose 20 cents, or 9.1%, to $2.40 in over-the-counter trading. Comcast shares rose 66 cents to $33.23 on Nasdaq.