Yahoo Finance Liberty Global to buy Dutch cable operator
Liberty Global to buy 71.5 percent of Dutch cable operator Ziggo for $13.7 billion
In this Tuesday Jan. 7, 2014 file photo, the company logo sits on the headquarters of Dutch cable and broadband provider Ziggo in Utrecht, central Netherlands. Liberty Global PLC, the cable company chaired by American tycoon John Malone, says it will buy the 71.5 percent of Dutch cable provider Ziggo NV it doesn’t already own for around 10 billion euros (usd13.7 billion) in mix of stock and cash. Liberty owns the other major Dutch cable provider, UPC, and plans to merge into a dominant cable company that would 90 percent of Dutch households. The management supported deal announced Monday must be approved by regulators. UPC and Ziggo argue competition also comes from mobile Internet and ADSL providers. (AP Photo/Peter Dejong)
AMSTERDAM (AP) -- Liberty Global PLC, the cable company chaired by American tycoon John Malone, says it will buy the 71.5 percent of Dutch cable provider Ziggo NV it doesn't already own for around 10 billion euros ($13.7 billion) in stock and cash.
Liberty owns the other major Dutch cable provider, UPC, and plans to merge into a dominant cable company that would cover 90 percent of Dutch households. The management-supported deal announced Monday must be approved by regulators.
UPC and Ziggo argue competition also comes from mobile Internet and ADSL providers.
Liberty's offer represents around 34.53 euros per Ziggo share, not far above 33.25 they closed Friday, but a 22 percent premium to their closing price on Oct. 15, the day before the companies announced they were in takeover talks.
