Craig Moffett Believes the Charter-Cox Merger is 'Mostly About Wireless'
On May 16, Charter Communications Inc. (NASDAQ:CHTR) and Cox Communications announced a definitive agreement to merge their businesses to create a leading US cable and broadband operator. Shortly after the announcement, Craig Moffett of Moffett Nathanson joined CNBC's 'The Exchange' to discuss the merger:
"I think this deal is mostly about wireless. I think it's not a coincidence that in the press release about the deal this morning, Charter described both itself and Cox as providers of mobile and broadband service. I think it was striking that they put mobile first ahead of even broadband. And I think that speaks to what the real strategic logic here."
The transaction values Cox Communications at an enterprise value of $34.5 billion, which includes $21.9 billion in equity and $12.6 billion in net debt and other obligations. Charter will acquire Cox's commercial fiber, managed IT, and cloud businesses. Cox Enterprises will contribute its residential cable business to Charter Holdings, which is an existing subsidiary partnership of Charter.
A line of cable boxes and modern televisions, representing the company's video services.
Within a year of the deal closing, which is tentatively mid-2026, the newly formed company will rebrand as Cox Communications, with Spectrum becoming the customer-facing brand in former Cox service areas. The combined entity will serve about 12 million passings and 6 million existing Cox customers under Charter's Spectrum brand, and is expected to enhance innovation, provide competitively priced products, and deliver improved customer service.
While we acknowledge the potential of CHTR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CHTR and that has 100x upside potential, check out our report about the cheapest AI stock.
READ NEXT: and .
Disclosure: None. This article is originally published at Insider Monkey.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
9 hours ago
- Yahoo
Alpha Kappa Alpha Charters New Chapter In The United Kingdom
Alpha Kappa Alpha Sorority, Inc. is exporting a Black American tradition to the U.K. It officially charted the first AKA chapter in the country, which will be known as Alpha Delta Alpha Omega Chapter, on Friday. It is the 19th chapter of AKA's international mission. Technically, there was a precursor to the AKA's presence in London with the former Tau Sigma Omega Chapter, which was dissolved in 2006. AKA inaugurated the new chapter in London on Friday. Alpha Delta Alpha Omega Chapter includes 25 professional women who work in fields like real estate, finance, medicine and business. 'History has been made across the pond!' the sorority wrote in an Instagram post. 'Congratulations to the charter members of Alpha Delta Alpha Omega Chapter of Alpha Kappa Alpha Sorority, Incorporated® on your official chartering in London, United Kingdom!' Before its official induction, the interest group was titled the Royal Pearl Society. They have been working with local organizations to help communities in need this past year, according to Watch the Yard. The group spearheaded initiatives such as the distribution of 350 Childhood Hunger Power Packs, assembling over 200 Blessing Bags, organizing an eight-week entrepreneurship training program for women, investing over £3,000 in Black-owned businesses and volunteering over 200 hours. 'These women are already making an enormous difference in and around London,' Carrie J. Clark, AKA's International Regional Director. 'They are an amazing group of servant leaders who I am confident will expand Alpha Kappa Alpha's legacy of service in the Greater London area for years to come.' Alpha Delta Alpha Omega Chapter will keep focusing on similar initiatives after its official induction. They plan on organizing activities like distributing children's books by Black authors, as well as collecting professional attire for women re-entering the workforce. Although sororities are an American tradition, AKA established international chapters early on, according to their website. The first one to be established overseas was the AKA chapter in Liberia, which was chartered in 1954. AKA then opened another international chapter in Nassau, Bahamas, in 1963, in the U. S. Virgin Islands in 1978, and in Germany a year later. Other countries with international chapters include Japan, South Korea, Canada, South Africa and more. The sorority has led global initiatives like efforts to reduce poverty in sub-Saharan African countries, building schools in South Africa after apartheid and service missions to support women and children in Liberia. The organization now counts over 365,000 members across 13 countries and post Alpha Kappa Alpha Charters New Chapter In The United Kingdom appeared first on Blavity.
Yahoo
a day ago
- Yahoo
Stocks to Watch Friday: Charter, Novo Nordisk, Applied Materials
↗️ Charter Communications (CHTR): The company agreed to buy closely held rival Cox Communications for $21.9 billion, bringing together two of the biggest broadband and cable operators in the U.S. Shares in Charter rose about 1%. Sign in to access your portfolio
CNBC
3 days ago
- CNBC
The AI trade is only just beginning, says Newton's John Porter
John Porter, Newton Investment Management chief investment officer, joins 'The Exchange' to discuss JPMorgan CEO Jamie Dimon's comments on fixed income and the 'Mag 7's run.
