Price per share: AT&T is paying $107.50 a share, to be split between cash and stock, and will assume the target's debt. The offer is 36 percent higher than Time Warner's unaffected share price before the transaction was made public in October, which is an above-average premium for large acquisitions in the media industry.
Assets of Time Warner: HBO, TNT, TBS , CNN , and Warner Bros.
Gov. Approvals: That leaves a smaller hurdle in an antitrust review by the Dept. of Justice, though the potential opposition of President Trump (who had said during the presidential campaign that he opposed the deal) still remains a wild card.
FCC Approval: Approved, As the Wall Street Journal reports, Pai said today that the FCC won’t be reviewing the deal, because by his interpretation, it doesn’t fall into the FCC’s wheelhouse. AT&T has always said that because the deal will involve no transfer of wireless spectrum licenses, the FCC doesn’t need to look at it. Pai seemingly agrees with that view, and therefore the FCC won’t be looking at the deal.
Shareholders approval: Mind you, it's already been six months since the transaction was announced and more than two months since shareholders approved it. And when they did vote, 99 percent of the shares were cast in favor of the deal.
Deadline: Executives from both companies have said they expect the deal to close this year 2017.
Termination Fee: Time Warner has agreed to pay a $1.7 billion breakup fee if another company outbids AT&T’s offer, a person familiar with the plans said. AT&T, meanwhile, would pay $500 million if the deal gets blocked, this person said.
Financing: AT&T will tap $40 billion in bridge loans, the person said, with $25 billion coming from JP Morgan and $15 billion from Bank of America Corp. The carrier said it is committed to maintaining its investment-grade credit ratings and forecast that the deal will lead to about $1 billion in cost savings within the three years.
Re-quoted from: 1. https://www.bloomberg.com/gadfly/articles/2017-04-26/ime-warner-shareholders-shouldn-t-get-greedy-now-over-at-t-deal
2. https://www.wsj.com/articles/at-t-reaches-deal-to-buy-time-warner-for-more-than-80-billion-1477157084