Comcast, GE to Form New JV
Under the terms of the transaction, GE will contribute to the JV NBCU’s businesses valued at $30billion. Comcast will contribute its cable networks valued at $7.25billion, and make a payment to GE of approximately $6.5billion of cash subject to certain adjustments based on various events between signing and closing.
According to GE, the JV will consist of the NBC Universal (NBCU) businesses and Comcast’s cable
networks will be well positioned to compete in an increasingly dynamic and competitive media and digital environment. The combination of assets creates a media and entertainment firm with the proven capability to provide some of the world’s popular entertainment. The JV will provide consumers the broadest possible access to content, television and online.
Brian Roberts, chairman and CEO of Comcast, said: “This deal is a perfect fit for Comcast and will allow us to become a leader in the development and distribution of multiplatform ‘anytime, anywhere’ media that American consumers are demanding. We are particularly pleased to be creating this new JV with GE and Mr Immelt and to have their continued involvement.
Jeff Immelt, chairman and CEO of GE, said: “The combination of Comcast’s cable and regional sports networks and digital media properties and NBCU will deliver strong returns for GE shareholders and business partners. I believe that the new NBCU will deliver value for both Comcast and GE in the future. We will give consumers and advertisers more choice and our cable and digital assets will be second to none.”
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