Wednesday, January 19, 2011

Comcast (Nasdaq:CMCSA) Now Majority Owner of NBC Universal (NYSE:GE)

The FCC in a 4-1 vote, and the Justice Department, both gave approval for Comcast (Nasdaq:CMCSA) to acquire a 51 percent stake in NBC Universal (NYSE:GE).

Comcast is acquiring the 51 percent stake from General Electric for $13.8 billion in assets and cash.

The deal had numerous caveats which Comcast and NBC Universal will have to abide by. The vast majority of them deal with the preservation of competition from the massive authority in the market Comcast will now enjoy.

On the side of Comcast, Executive Vice President David Cohen said the conditions included with the deal won't "disadvantage the competitive positioning of the Comcast Cable or NBC Universal businesses."

The majority of the conditions associated with the deal will be in place for a period of seven years.

Comcast closed at $22.78, up $0.06, or 0.26 percent.

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