The US bankrupt operator Adelphia Communications Corp. agreed to be bought by the media group Time Warner Inc. and the US leading cable TV operator Comcast Corp. for $18 billion, according to Reuters.
The two companies are expected to pay $13.5 billion in cash and $4.5 billion in stock. The deal appears in the course of a possible counterbid from rival Cablevision Systems Corp. with the less lucrative offer of $16.5 billion in cash.
The deal brings New York-based Time Warner and Philadelphia-based Comcast over 5 million of additional subscribers.
Adelphia is now expected to pay part of the $20 billion debt to creditors winding up bankruptcy trial that lasted for almost three years.
William Schleyer, Adelphia’s chief executive officer, sought for bankruptcy protection and started an auction after the company filed for Chapter 11.