Charter resumes pursuit of Time Warner Cable

Pay-television operator Charter Communications is engaged in early talks with banks to secure a debt package of $25bn (€22.4bn) to $30bn to aid a merger with fellow cable operator Time Warner Cable, according to multiple US media reports.

The Wall Street Journal newspaper said Charter is seeking a friendly deal with TWC after an offer last year was rejected.

The latest development comes after board members of TWC and Comcast last month admitted defeat in their efforts to salvage a proposed $45.2bn takeover of the former 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.

However, the deal was scuppered by regulatory opposition from the Department of Justice and the Federal Communications Commission.

The Wall Street Journal said that top executives close to Charter have since reached out to their counterparts at TWC in an effort to put a deal back on the table. Charter and TWC are also said to have approached smaller operator Bright House Networks about acquiring the company.

In January 2014, Charter had proposed a takeover of TWC at $132.50 a share in cash and stock. This was rejected with TWC seeking $160 a share. At close of trading on Friday, TWC’s share price on the New York Stock Exchange stood at $154.68.