AT&T will combine its massive media operations that include CNN, HBO, TNT and TBS in a 43 billion dollar deal with Discovery, the owner of lifestyle networks including the Food Network and HGTV. Faced with strong competition from streaming services, major broadcast media companies have sought strength through mergers. Expand Close Streaming services like Netflix are fierce competition for traditional media companies (Netflix) / FacebookTwitterEmailWhatsapp Streaming services like Netflix are fierce competition for traditional media companies (Netflix)In the all-stock deal, AT&T will receive 43 billion dollars in a combination of cash, debt securities, and WarnerMedia’s retention of certain debt. AT&T shareholders will receive stock representing 71% of the new company and Discovery stockholders will own 29% of the new company. Discovery launched a standalone streaming service called Discovery Plus this year.

Source: Irish Independent May 17, 2021 11:48 UTC