The board members of Time Warner Cable and Comcast have admitted defeat in their efforts to salvage a proposed $45.2bn (€42bn) takeover of the US pay-television operator by the US media company.
The takeover, which was approved by the shareholders of both companies in October 2014, would have led to Comcast taking control of the NBC Sports Group division of the Time Warner Cable-owned NBCUniversal media company, as well as other sports-media services and channels.
The deal was scuppered by regulatory opposition from the Department of Justice and the Federal Communications Commission, according to a report by USA Today. Comcast executives were told by the regulators last week that the FCC was prepared to issue a hearing designation order, which could have delayed the process by months or even years.
Comcast chairman and chief executive Brian Roberts said that the media company must “move on.”
He added: “Of course, we would have liked to bring our great products to new cities, but we structured this deal so that if the government didn’t agree, we could walk away. Comcast NBCUniversal is a unique company with strong momentum. Throughout this entire process, our employees have kept their eye on the ball and we have had fantastic operating results. I want to thank them and the employees of Time Warner Cable for their tireless efforts.”
Time Warner Cable chairman and chief executive Robert Marcus added: “We have always believed that Time Warner Cable is a one-of-a-kind asset. We are strong and getting stronger. Throughout this process, we’ve been laser focused on executing our operating plan and investing in our plant, products and people to deliver great experiences to our customers. Through our strong operational execution and smart capital allocation, we are confident we will continue to create significant value for shareholders.”