Cable Operators

Cox Wraps Up Tender

12/03/2004 4:09 AM Eastern

Cox Enterprises Inc. successfully completed its cash tender offer for the 38% of Cox Communications Inc. stock it didn’t already own, paving the way for taking the Atlanta-based MSO private.

CEI said about 181 million shares of CCI stock were tendered for $34.75 per share. The tender offer expired at midnight Dec. 2.

“We are excited about this transaction because it will enhance CCI's competitive position in the cable and telecommunications industry,” CEI chairman and CEO James C. Kennedy said in a prepared statement.

“This structure will allow us to focus on delivering high-quality service to our communities and customers, as well as our long-term business objectives and growth,” he added.

In a press release, CEI said the tender offer cost about $6.6 billion. CEI also plans to assume about $1.9 billion in CCI debt, bringing the total value of the transaction to about $8.5 billion.

CEI said in the release that following the purchase of the shares, CEI will own more than 90% of CCI’s class-A common stock, and it intends to immediately merge CCI with a wholly owned CEI subsidiary.

The merger is expected to close Dec. 8, and CCI should be delisted from the New York Stock Exchange Dec. 9. CCI will still file financial documents with the Securities and Exchange Commission -- 10-K annual reports and 10-Q quarterly reports -- because the company still has public debt.

November

Next TV

Affinia Manhattan, New York, NY