Did GE Just Make Comcast an Entertainment Powerhouse?
Pushing forward, ahead of timeline predictions, Comcast (NASDAQ:CMCSA) sealed the deal with GE (NYSE:GE) to buy out the rest of NBC Universal on Tuesday, giving it even more control of the network — though there are still limits in place.
In 2011, Comcast made its move to buy up most of NBC Universal, but GE still maintained a 49 percent minority stake in the broadcast company. Fortunately for Comcast, GE had been planning to eventually pull out of the entertainment business, and this exchange of power completed both companies’ plans.
To pave the deal over, Comcast paid $16.7 billion to GE — $11.4 billion with on-hand cash, $4 billion with unsecured notes, $725 million with subsidiary preferred stock, and $2 billion with credit facility borrowings. So, the amount paid by Comcast and the amount realized by GE could be slightly different…