Liberty Media Just 2% Shy Of Control At SiriusXM
August 16, 2012 at 3:56 AM (PT)
LIBERTY MEDIA is closer than ever to control of SIRIUSXM RADIO, after a stock buying spree that left LIBERTY just 2% shy of owning half of SIRIUSXM's stock.
THE WALL STREET JOURNAL reports, "In a filing TUESDAY evening, LIBERTY said it had bought about 90 million SIRIUS shares in recent days for roughly $2.50 each, or approximately $225 million in total. It also agreed to buy an additional 41 million shares through a forward agreement that expires on OCTOBER 11th. Altogether, the transactions raise LIBERTY's effective stake to around 48% from 46.2%."
Last week (NET NEWS 8/9) LIBERTY MEDIA was set to sell off its STARZ premium-cable TV channel in order to bring in cash to buy controlling interest in SIRIUSXM. At that time, LIBERTY owned just over 40% of the satcaster.
Insiders suspect LIBERTY Chairman JOHN MALONE would move to SIRIUSXM management, and possibly spin the company off to LIBERTY shareholders should the controlling interest be achieved.