In a move to increase its footprint in a consolidating industry, Cablevision
has reportedly made a $16.5 billion cash offer for the
assets of bankrupt Adelphia Communications .
The Bethpage, N.Y., company is currently bidding without the aid of buyout
Firms. However, it might engage institutional investors, the Wall Street
Journal reported today.
Jim Maiella, a Cablevision spokesman, declined to comment on the report.
Cablevision, which had 2.9 million cable customers and 1.35 broadband
subscribers at the end of 2004, would be in competition with Comcast and Time Warner
, which are exploring a joint offer
for Adelphia.
The offer, expected to be a combination of cash and stock, is
said to be around $18 billion. It
remains to be seen how the companies would divvy up Adelphia if
their offer were accepted.
Adelphia is entertaining bids on any or all of its seven clusters of cable
systems. It provides video and broadband in 31 states and Puerto Rico.
A successful deal could also help set the stage for Comcast to exit its
investment in Time Warner Cable, which it inherited from a previous
acquisition.
Kohlberg Kravis Roberts & Co. and Providence Equity Partners have also
reportedly teamed up to make a bid for Adelphia.