Cablevision selling company for $1.6 billion
Cablevision Systems has clinched a deal to sell Bresnan Broadband holdings, otherwise known as Optimum West, to Charter Communications for $1.6 billion in cash, the companies said Thursday.Optimum West manages cable systems in Colorado, Montana, Wyoming and Utah that pass more than 660,000 homes and serve 304,000 video subscribers. “With this transaction, Charter will acquire some of the fastest growing cable assets in the United States,” said Tom Rutledge, CEO of Charter (who ankled as Cablevision’s chief operating officer in late 2011.) “Optimum West is an ideal fit for Charter and we anticipate an efficient integration process.” “We are proud of the value we created in the Optimum West properties,” said Cablevision CEO James Dolan. Charter will fund the acquisition with $1.5 billion of committed bank financing, cash on hand and its revolving credit facility. The deal is expected to close in the third quarter. Credit Suisse and Goldman Sachs acted as financial advisors to Charter and have also provided debt financing commitments for the transaction.