AT&T Shareholders Approve $48 Billion Merger

Strategic Insights -

AT&T shareholders have overwhelmingly approved the company's $48 billion acquisition of Tele-Communications Inc. (TCI), with over 72% of outstanding shares voting in favor of the merger. This record-breaking approval marks a major step towards creating one of the world's largest telecommunications companies. The merger still requires approval from TCI shareholders and federal and state regulators. Once completed, the deal will enable AT&T to offer customers direct broadband connections and a choice in local telephone service.

Key Takeaways:

  • The merger will make AT&T one of the world's largest telecommunications companies.
  • Over 72% of outstanding shares were voted in favor of the merger, a record number for a company proposal.
  • The acquisition will give AT&T capacity to deliver multi-levels of communications services to consumers.
  • The merger will enable AT&T to offer customers direct broadband connections and a choice in local telephone service.
  • AT&T Chairman C. Michael Armstrong stated that the merger is crucial for the company to become the 'any-distance' provider its customers need.
  • The company expects to close the merger in the first quarter.
  • This combination will enable the delivery of the next generation of communications, information, and entertainment services.

Statistics:

  • 72%: The percentage of outstanding shares that voted in favor of the merger, a record number for a company proposal.
  • $48 billion: The value of the acquisition deal between AT&T and TCI.
  • 1st quarter: The expected timeframe for the merger to be completed.
  • Over 72%: The overwhelming approval of shareholders, marking a significant milestone for the company.

Sources:

  • UPI (United Press International)
  • COMTEX (http://www.comtexnews.com)