Report: Comcast and GE Agree on $30B for NBC
Comcast’s bid to buy NBC Universal from GE has cleared another hurdle — the price point. The two parties have agreed to a $30 billion price tag for the TV and movie company, sources familiar with the matter tell The Wall Street Journal and Reuters.
The deal would give the cable network a 51 percent stake in the newly combined venture. And the deal could include a stipulation that over the following seven years, GE would sell all or part of its remaining stake in the company to Comcast.
One variable to closing this deal is French media company Vivendi, which has a 20 percent stake in NBCU. Vivendi has been talking about selling its stake for a while, but it’s not clear whether the company has agreed to the deal being negotiated between Comcast and GE.
Comcast is expected to contribute between $4 billion and $6 billion to the venture, but the cash payment would depend on how well NBC performs financially. If NBCU’s financials get worse between the signing of the deal and final closing, Comcast could wind up paying less.
The Journal reports that the final details are being worked out, and we could get an announcement by the end of this week. (We’ve heard that one before.) Getting the regulatory approvals is expected to take eight to 12 months.
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[...] it’s for a couple of reasons. On the news side, the cable giant is unavoidable, with its proposed NBC Universal joint venture and TV Everywhere trials. But just so it’s clear, we wanted to disclose that the reason the [...]
[...] agreeing to a purchase price for Vivendi’s stake, GE can move forward with a separate deal to create a joint venture between Comcast and NBC that is valued at around $30 billion. Under the terms of that deal, Comcast [...]
[...] Comcast, GE Officially Announce Joint Venture Comcast and GE officially announced a deal this morning that will merge the entertainment properties of the cable company with NBC Universal, creating a new media behemoth valued at around $30 billion. [...]
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