Adelphia Wins Approval for Sale Advisors

Sep 14, 2004  •  Post A Comment

Adelphia Communications moved a step closer to a sale Tuesday after a bankruptcy court judge approved the company’s selection of UBS Investment Bank and Allen & Co. to serve as financial advisors to the cable operator during its sale process.

The move clears the way for Adelphia to begin soliciting offers later this month when it launches a formal process during which an information memorandum will be distributed to parties that signed a confidentiality agreement with Adelphia. Final bids for either some or all of Adelphia are expected to be received by the end of the year.

The battle for Adelphia and its 5.4 million subscribers will likely be a closely watched process, given the parties interested in the company as well as the controversy surrounding the process itself. A number of would-be suitors have complained for months about the slow-moving nature of the sale process.

Among the likely bidders are Comcast and Time Warner, as well as at least three separate investment teams made up of private-equity players and cable veterans. The final sale price could hit $20 billion.