AT&T is nearing a deal to sell a big minority stake in its DirecTV, AT&T TV Now and U-Verse change to non-public-equity firm TPG, in step with folk familiar with the matter.
A deal would be announced as rapidly as this week, stated the oldsters, who requested no longer to be named since the discussions are non-public.
The deal will price the AT&T agencies spherical at $15 billion. AT&T acquired DirecTV in 2015 for $48.5 billion ($67 billion with debt).
AT&T has moved away from light pay-TV in the previous quite rather a lot of years as it has centered its media arrangement spherical HBO Max. DirecTV, U-Verse and AT&T TV Now are based completely spherical a linear TV change of broadcast and cable networks that’s shedding hundreds of thousands of subscribers each and every year.
AT&T lost virtually 3 million video customers closing year and took a $15.5 billion impairment price due to company’s 2d look of its home video change.
A sale will present AT&T will extra money to pay down its debt, which stands at about $150 billion and has repeatedly declined by the previous year.
Hedge fund Elliott Administration took an activist stake in AT&T in Sept. 2019. In a letter to administration, Elliott requested AT&T to focal point its strategic operations while taking into account divesting non-core assets — alongside with DirecTV. AT&T CEO John Stankey has resisted a fleshy sale.
TPG declined to comment. AT&T might well no longer be without lengthen reached for comment.