Charter Reaches Deal to Buy Time Warner Cable

Updated from Monday, May 25

Charter Communications (CHTR) agreed to buy Time Warner Cable  (TWC) in a cash-and-stock deal valued at $78.7 billion.

Time Warner Cable shares are being valued at $195.71 in the deal.

The stock is rising 9.6% in premarket trading on Tuesday to $187.53. Charter shares were up 4.4% to $183.

Charter will also merge with a smaller cable operator, Bright House Networks, as part of the transaction. That would leave Charter with 23 million total cable customers, second only to Comcast (CMCSA), which has 27 million.

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