Is T-mobile U.S. a good target for Comcast

Abstract

Throughout 2015 there was a rumor in the market that the U.S.-based cable company, Comcast, could be expanding its segments to wireless. Despite offering cable TV, broadband and voice or even by operating theme parks, the company may be after T-Mobile U.S., a Deutsche Telekom subsidiary. Despite its failed attempt to buy Time-Warner Cable, it is expected that such a deal would occur for Comcast in a near future. Therefore, following the company strategic objectives, this thesis stresses the effects of acquiring T-Mobile U.S. in both, financial and strategic terms. With total synergies expected to achieve $5,130M and a total premium of $4,429M, such a deal would bring Comcast a net benefit of $5,632M. With a final price offer of $41.61 per share, the deal is recommended and should occur as soon as possible for the sake of the companies in the process.

Date of Award	20 May 2016
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	António Luís Traça Borges de Assunção (Supervisor)