NEW YORK (TheStreet) -- Bob Johnson, founder of asset management firm RLJ Companies and the CEO of Black Entertainment Television met with President-elect
Donald Trump last week to discuss what he called "business solutions to social problems."
Because of Johnson's background in the media, he spoke on CNBC Tuesday about what's next for the industry under a Donald Trump presidency. In particular he discussed the proposed merger between AT&T (T) and Time Warner (TWX) announced in October for $85.4 billion.
That deal is awaiting federal regulatory approval. However, Trump has stated intentions to block the deal.
"Here's my read based on knowing him and business background and acumen," Johnson said: "He is going to sit down and negotiate."
Johnson expects Trump to stake out a position as he would in any business deal and will bring all the sides together in an attempt to iron out an agreement.
"He'll sit down with [AT&T CEO] Randall Stephenson and the guys from AT&T; he'll sit down with whoever the regulators might be, whether it's the Justice Department or the [Federal Communications Commission] and ask what the ultimate goal is," Johnson contended.
Next, the President-elect will weigh the benefits of the deal for consumers, businesses, and jobs and economic growth. "I think that is the platform he starts with everything he looks at from a business standpoint," Johnson noted.
(AT&T is a holding in David Peltier's Dividend Stock Advisor.)
The team rates AT&T as a Buy with a ratings score of B. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, good cash flow from operations, expanding profit margins and solid stock price performance. The team feels its strengths outweigh the fact that the company has had generally high debt management risk by most measures that it evaluated.
You can view the full analysis from the report here: T.