John Paulson’s Kabletown Dream Comes True

When John Paulson & Co. bought up a bunch of Time Warner Cable shares last year, he hoped and prayed that Hank Hooper & Co. were thinking the same thing he was. They were, and now he’s $200 million-plus to the good.

They were always the most logical acquirer. They are a perfect fit for Time Warner Cable. What you didn’t know [before the deal was announced] was the appetite for Comcast to do a merger. That was the uncertainty but logic prevailed….

I would think it would be very attractive to hold Comcast post-merger as well. At the end of the day, the earnings-per-share and cash-flow-per-share should grow more for Comcast with Time Warner Cable than it would as just Comcast alone. That makes it very attractive to own.

Paulson on Comcast/TWC, Sprint/T-Mobile and Consolidation [WSJ MoneyBeat blog]
Winners & Losers From the Comcast, Time Warner Cable Deal [WSJ MoneyBeat blog]

3 comments (hidden to protect delicate sensibilities)
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Comments (3)

  1. Posted by guest | February 15, 2014 at 6:16 PM

    Stick to pianos and gold

  2. Posted by UFO | February 18, 2014 at 2:25 PM

    "the earnings-per-share and cash-flow-per-share should grow more for Comcast with Time Warner Cable than it would as just Comcast alone"

    Minus the huge capital/equity outlay to get from point A to point B, the diminishing returns of the industry as a whole, the diminishing appeal of Comcast specifically, and the liklihood of becoming a magnet for regulatory action….seems find and dandy to me.

  3. Posted by UFO | February 18, 2014 at 2:26 PM

    *fine and dandy

    – Embarrassed poster who really should turn autocorrect off