Charter Communication Also, Cox Communications, two of the largest cable companies in the United States, has agreed to merge.
The deal will be one of the largest companies in the industry last year and one of the largest companies across the company.
The agreement valued a COX of $34.5 billion on a corporate basis consisting of $21.9 billion in equity and $12.6 billion in net debt and other obligations in line with the charter’s recent corporate value based on estimated adjusted revenues for 2025 and adjusted revenues for 2025 before amortization, according to a news release on Friday.
Charter stocks – Behind the second largest publicly traded cable company Comcast – It rose a little on Friday. Cox, run by the Cox Family, is also the largest cable provider.
In a call Friday with investors, Charter CEO Chris Winfrey called the deal “for America” and called it “returning jobs from overseas and creating new good payment customer service and sales careers.”
This commentary comes as corporate trading activities have been slower than expected since President Donald Trump took office.
After Trump won the election, Wall Street hoped the regulatory environment would ease and floodgates would be opened for deal makers and business leaders. But in the months following the election, businesses are fighting other factors rather than deals, such as the Federal Communications Commission’s investigation into diversity, equity, inclusion practices, and the outcome of Trump’s tariffs.
Communications giant last fall Verizon We have announced a $20 billion acquisition proposal for Frontier Communications. However, the transaction has not yet been approved by regulatory authorities as Verizon is being investigated for its DEI practices.
Charter Winfrey said on Friday that it expects businesses to “go through a full-sum process.”
The merger with Cox comes months after Charter announced that it would acquire Liberty Broadband in an all-stock deal that simplifies cable pioneer John Malone’s portfolio. In February, Charter and Liberty Roadband shareholders approved the proposed transaction.
According to the release, Charter expects to have around $500 million in annual cost synergy within three years of closure.
The merger agreement with Cox is expected to close at the same time as the Liberty Broadband merger, the company said Friday. Winfrey said it would be difficult to pinpoint the timing on a call Friday, but said, “I think we’ll be able to do that by mid-next year. But of course, we’ll follow the regulator’s lead and work together productively.”
Cable combo
Christopher L. Winfrey, CEO of Charter Communications.
Courtesy: Charter Communication
The broadband industry has been fighting fierce competition from its wireless competitors in recent years, as alternative home internet options such as 5G and so-called fixed wireless options are increasing. This follows the ongoing loss of customers from traditional cable television bundles.
Charter had 30 million broadband customers at the end of the first quarter, down 60,000 from the previous period. It had around 12.7 million cable TV customers and lost 181,000 in the quarter.
Cable companies are beginning to rely on mobile businesses to retain their customers, and charters are actively present in mobile lines pricing and bondage. The charter said it had 10.5 million mobile lines as of the first quarter after reporting growth quarters.
The company serves its services in 41 states and is open to over 57 million homes and businesses. As of March 31, the charter said it had a total of 31.4 million customer relationships.
Cox Communications, a division of Cox Enterprises, holds the position of the largest private broadband company in the United States, with approximately 6.5 million residential and commercial customers, according to the website.
Friday’s Investor Call Charter CFO Jessica Fisher provided details about Cox’s business. The company has 6.3 million customers, including 5.9 million people who have signed up for the internet. Cox generated $13.1 billion in revenue in 2024, she said.
Cox’s services are available in 12 million homes, and its network infrastructure has reached over 30 states. We began offering mobile in 2023.
Winfrey said the total network of companies spans around 46 states, with around 70 million homes and businesses available, with 38 customers.
In comparison, Comcast reported that as of March 31, it had around 51.4 million customer relationships and was available to nearly 64 million homes and businesses.
According to the release, once the merger is closed, Cox Enterprises owns approximately 23% of the total company’s fully diluted stake.
With the transaction, within one year after the transaction is closed, the combined company will change its name to Cox Communications. A brand of cable, broadband, mobile and other services, Charter’s Spectrum will become a consumer brand for all customers.
The total company will take over the current headquarters of Charter in Stamford, Connecticut, but will maintain a significant presence at Cox’s home base in Atlanta after the closure.
Charter’s Winfrey will continue at the helm as president and CEO following the end of the transaction. Meanwhile, Cox Enterprises Chairman and CEO Alex Taylor will become chairman of the Combined Company’s board of directors. Another Cox executive will be on the board and the Cox family will have the right to retain two board members.
Disclosure: Comcast is the parent company of CNBC.
