US: Time Warner shareholder fights Comcast merger

As backlash hits Time Warner Cable and Comcast following the announcement of their planned merger, reports say it’s not only rivals and consumers that are unhappy with the deal.

TWC has now been sued by one of its own shareholders for the $45 billion sale of the company to Comcast, a deal that will have to overcome scrutiny from consumers and antitrust regulators alike.

The shareholder, investor Breffni Barrett, is suing TWC on the grounds that the merger is the result of unfair dealing and was made at an unfair price.

While the $45.2 billion price tag is about 17 percent higher than the value of TWC stock, say reports, the complaint alleges that the deal does not consider future growth.

According to reports, Breffni slammed the merger plans as one that sells TWC “at an unfair price through an unfair and self-serving process to Comcast.”

The suit was filed in Manhattan late last week and will sue on behalf of TWC stock holders.

Full Content: Bloomberg

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