steven36 Posted September 19, 2019 Share Posted September 19, 2019 Telecom giant AT&T is considering off-loading satellite TV subsidiary DirecTV, according to the Wall Street Journal, citing sources. The company has also mulled spinning off DirecTV into a separate company, as well as merging DirecTV’s assets with satellite-TV company Dish Network, said the outlet. AT&T declined to comment. Shares of AT&T, which trade under the ticket T, are popping nearly 1% in extended hours, after closing down 1.1% during the regular session Wednesday. Dish Network shares are trading higher after hours, up 1.8% after closing out the session up 0.8%. The news comes less than a week after AT&T was sued by a group of investors for allegedly creating fake DirecTV Now accounts and artificially inflating subscriber figures for the streaming service. The federal class-action lawsuit alleges that AT&T wanted to make DirecTV Now look more successful than it is as a way to rationalize its $85 billion acquisition of Time Warner, or what is now called WarnerMedia. AT&T said in a statement that it plans to “fight these baseless claims in court.” On Sept. 9, activist investor Elliott Management said that it has staked $3.2 billion in AT&T and criticized AT&T for purportedly underperforming the rest of the market, asserting that its Time Warner and DirecTV deals have hurt the overall company’s financial health. Source Link to comment Share on other sites More sharing options...
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