Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Time Warner Cable Inc. (TWC) Investors Pushing for a Deal with First Century Fox Inc. (FOXA)

Time Warner Cable Inc. (NYSE:TWC) Investors might finally push for a deal that will see the company acquired by Twenty-First Century Fox Inc. (NASDAQ:FOXA) as the stock has in the recent trading sessions been surging in the markets. There waiting, on the other hand, might take some time after the company’s board of directors removed a provision for them to call a special meeting to discuss the same.

Time Warner Cable Inc (NYSE:TWC)

The company’s board of directors is reportedly not interested in any form of deal that involves Rupert Murdoch’s Fox, according to Bloomberg’s Jon Erlichman.

“It is not every day that a company that has a friendly shareholder provision in its document would yank that away but that’s essentially what Time Warner is doing. By saying okay: “our board has decided that shareholders are not going to be able to call a special meeting for a period of time.” What they said is they want to reinstate this in time for 2015 annual meeting,” said Mr. Erlichman.

The board maintains that the shareholders will have to wait until 2015 in order to have their provision of holding a meeting reinstated. Erlichman believes that the Time Warner board is trying to make it extremely difficult for Fox to go through with its $75 billion takeover plan. Jeff Bewkes has already reiterated that Time Warner Cable Inc. (NYSE:TWC) is better off without Fox clearly showing it will be a battle, if any deal is to be agreed.

“When we saw Jeff Bewkes react to the Fox offer it is not as if he said this offer undervalues our company, he said we are not interested in doing a deal with Fox,” said Mr. Erlichman.

Jeff Bewkes belief that Time Warner Cable Inc. (NYSE:TWC) does not need Fox could be valid in the sense that since he took office, the company has returned nearly 114% to shareholders compared to Murdoch’s Fox 90%. Time Warner might have outpaced Fox through the showering of shareholders with dividend payments as well as producing more value through spin-offs.

Even with all the good things that have been going well for Time Warner Cable Inc. (NYSE:TWC), Bewkes will need to instill confidence to the investors that the company’s ability to expand its sales, outweighs the cost benefits that do come with a potential merger with Fox.


Disclosure: none

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...
X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!