Feeds

Liberty move on Telewest faces legal challenge

Bondholders baulking...

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

ComputerWire: IT Industry Intelligence

A move by Liberty Media Corp to gain control of UK cable operator Telewest Communications Plc by buying a chunk of the company's bonds has hit a snag. A group of bondholders is taking legal action, claiming the move was illegal.

Though Liberty denied the allegation, and said its offer complied with security laws, it extended the expiry date of the offer from July 11 to July 19 and allowed those bondholders who have accepted its bid to change their minds at any time up to the expiry date.

With 48.8% of the Telewest equity under its control and up to 20% of the company's bonds, Liberty is putting itself in a position to win control when the company engages in a debt-for-equity swap to cut its huge interest burden. But as this circumvents the rules governing conventional take-overs, legal action was only to be expected.

Once in control of Telewest, Liberty's next move is expected to be to merge the company with the other UK cable operation NTL Inc, which is undergoing a debt-for-equity restructuring.

© Computerwire.com. All rights reserved.

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.