AT&T is spinning off its DirecTV into a new
company for a fraction of the $48.5 billion it
paid for the satellite TV service in 2015. DirecTV
has lost millions of customers on AT&Tâs watch,
and is valued in the deal at just $16.25 billion,
including debt.
Private equity firm TPG will own 30% of the
business, while AT&T holds the rest. The
telecom company will receive $7.8 billion in
cash, including $1.8 billion from TPG and and
$5.8 billion from the new DirecTV firm, which is
borrowing that sum. The new DirecTV will also
take on $200 million in debt from AT&T.
AT&T launched its streaming service HBO Max
last year and has focused on building that