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FTC approves Time Warner Cable takeover

Time Warner Cable will be able to complete its takeover of Insight Communications after the Federal Trade Commission gave the deal antitrust approval.

20 September 2011

The Federal Trade Commission (FTC) has ruled that Time Warner Cable can complete its acquisition of Insight Communications.

It comes after the former had agreed a deal in August that would see it pay $3 billion (£1.9 billion) to take ownership of the operator from the Carlyle Group, Reuters reports.

After business negotiations had been completed, the FTC had to give antitrust approval before the transaction could move on to the next stage.

The reason behind the move from Time Warner Cable is that the firm wants to expand its operation in the Midwest of the US.

Insight, which is the tenth-largest cable operator in America, sells cable television and high-speed internet services to 750,000 customers in four states - Illinois, Kentucky, Ohio and Indiana.

Its first quarter results for 2011 show it had $267.2 million in revenue, which was a two per cent increase on the figure recorded in the same three-month period in 2010.

Posted by Ken Hayes

Source: Reuters, September 19th

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