Report: Bids in for purchase of Insight
The bids for Insight Communications are in, and The Wall Street Journal reports that a buyer for the cable, internet and phone provider that serves Evansville, Henderson, Ky., and several other area communities could be selected within a month.
The paper reports that the final bids for the company, which serves over 700,000 customers in its three-state service area, came in at just over $3 billion, which would be within the $3-4 billion range that Insight is said to be seeking.
Of the three companies previously said to be interested in Insight Cablevision, WOW! and Mediacom it appears that Cablevision has dropped out of the process.
In its place, Time Warner Cable is said to be back in the game, but sources say the company is waiting for the potential price to come down a bit, and likely won’t make a play unless it falls below $3 billion.
Additionally, WOW! is still considered a long-shot bidder by some analysts, as its service areas overlap those of Insight in both Evansville and Columbus, Ohio, which could lead to antitrust issues.
Some unnamed buyout firms have also reportedly expressed interest and are looking at the company’s financial data to assess how much they can (or, more realistically, would have to) borrow to fund a purchase.
It is possible that one of Insight’s private-equity firm partners could step up and buy out The Carlyle Group’s interest. Texas-based Crestview Partners, which bought 42 percent of Insight last year, has the right of first refusal on any sale of the company.
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