Cablevision Soars on Deal SpeculationStock up 10% on reports TWC looking for alternative to Malone 7/01/2013 05:02:09 PM Eastern
shares climbed as high as 10% on Monday after speculation swirled around the
Bethpage, N.Y.-based MSO that it might be the target of Time Warner Cable.
rose as high as $18.50 per share in early trading July 1 (up $1.68 each or
10%), before settling back slightly to close at $18.44 per share, up 9.6% or
to a Reuters report, Time Warner Cable has had talks with Cablevision and
Cox Communications in the past few months about a possible combination.
According to the story, which cited unnamed sources, Time Warner Cable was
interested in a deal in part to ward off advances from Charter Communications
and one of that MSO's largest shareholders, Liberty Media chairman John Malone.
Cablevision has long
been in Time Warner Cable's sights -- the MSO's operations in the New York
Metropolitan area are surrounded by TWC's Manhattan system - but the company
has always resisted selling. But in light of recent declines in its stock price
and stagnant growth, some analysts believe the Dolan family, which controls the
majority of Cablevision's voting shares, may be more open to a deal.