AT&T Inc. wants to get into the satellite television
business, according to TheStreet.com. The San Antonio-based company reportedly
hired Goldman, Sachs & Co. to explore a possible deal for EchoStar
Satellite LLC's television broadcast operations. The investment bank was hired
about a month ago to look into this possible acquisition, which Citibank noted
in a report could have EchoStar go for $65 per share. With a changing of the
guard coming up in the 2008 presidential election, companies such as AT&T
may be pushing for deals while a merger-friendly Republican administration is
still in office.
AT&T has been on a buying binge lately,
paying $2.9 billion in cash for covering wireless spectrum from Aloha
Partners LP on Oct. 9 and acquiring rural wireless telecom Dobson
Communications Corp.
for
$2.8 billion on June 29. — Gerald Magpily
See
TheStreet.com article
See
TheDeal.com Oct. 9 article
See
TheDeal.com June 29 article
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I agree with the author, AT&T has been on a buying spree lately. I'm still convinced this is because they realized what a bad deal Cingular was. AT&T seems to be trying to break into several different mediums in the telecommunications industry. Overall I think this deal will be a good fit for AT&T. Shared corporate ties http://www.newsvisual.com/newsvisual/2007/10/common-ties-cou.html , along with the right initial offer, could get first stage negotiations going as soon as this week.