Liberty Media Corp. moved to buy the stakes in Liberty Satellite &
Technology Inc. and Liberty Digital Inc. that it doesn't already own.
Liberty is offering 0.09 of its shares for each Liberty Satellite share, a
deal valuing Liberty Satellite stock at around $1.16 per share.
Liberty Digital holders would get 0.25 Liberty shares for each of their
shares, or about $3.09 each. That's a fraction of what they once traded for.
Liberty Satellite CEO Carl Vogel jumped to Charter Communications Inc. last
Industry executives said Liberty Digital president Lee Masters would also go
once the reabsorption was complete.
Liberty already controls 90 percent of both companies.
Each was a closely held spinoff of Tele-Communications Inc. -- one to run
TCI's PrimeStar Inc. sales, the other to build music-related businesses.
They were kept independent partly to get better valuation of their underlying
satellite and Internet assets and partly for use as currency in acquisitions.
Their plunging stock prices pretty much took care of their reason for