David M. Ewalt, 04.19.05, Forbes.com
NEW YORK - The takeover war over MCI may have dominated headlines the
past few weeks, as Verizon Communications and Qwest Communications
locked horns over the company. But in the background, an equally
fierce battle is raging over Adelphia Communications, which could
radically alter the marketplace, setting up one of the biggest
competitors in the telecommunications industry.
If nothing else, it's going to be a bigger deal. On April 19,
Cablevision, the sixth-largest cable operator, reportedly raised its
bid for Adelphia, to $17.1 billion, improving on a $16.5 billion bid
it sneaked into the bidding process last month. Its main competitor, a
joint bid between Comcast Cable and Time Warner, has dominated the
bidding since Adelphia went up for sale a year ago. Their latest offer
is reportedly worth $17.6 billion, but offers less in cash, and more
in what could be volatile stock.
In contrast, Verizon's latest bid for MCI, at $7.5 billion, is worth a
fraction of what is being offered for Adelphia.
/An Apollo Sandwich from Corky & Lenny's/
[TELECOM Digest Editor's Note: If I am not mistaken, there is that one
stockholder, Slim (somebody) in Mexico who owns 13 percent of the
company, and the purchasers of MCI tried to (or were successful at)
cutting a different deal with him than with the other stockholders.
I thought that was illegal ... whatever was offered to one stockholder
had to be the same for _all_ stockholders; and the other stockholders
have been complaining mightily about Slim getting better terms. Does
anyone know more about this? PAT]