WATCH: More tech videos on TheStreet TV | More videos from Brittany Umar
NEW YORK (TheStreet) -- Comcast agrees to shed about 3.9 million subscribers, including 1.4 million Time Warner customers it plans to sell to competitor Charter Communications, to help its $45 billion takeover of Time Warner win regulatory approval.
Cable company Comcast
(CMCSA) has agreed to shed about 3.9 million subscribers to help its $45 billion takeover of Time Warner Cable
(TWX) win regulatory approval.
Comcast reached a deal to sell 1.4 million Time Warner customers to competitor Charter Communications
for an estimated $7.3 billion in cash. Comcast also plans to create a new publicly traded cable provider that will serve about 2.5 million of its existing subscribers.
Charter will create a new holding company that will have about a 33% stake in the newly created provider, with Comcast and former Time Warner shareholders owning the remaining roughly 67%.
Comcast and Charter also agreed to swap 1.6 million Time Warner customers and 1.6 million Charter customers in order to improve their geographic presence. All details of the companies' agreement is dependent upon the completion of the Comcast-Time Warner merger.
In New York, I'm Brittany Umar for TheStreet.
-- Written by Brittany Umar in New York.
Check Out Our Best Services for Investors
Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts