Is Charles Ergen Seeking A Sirius XM Takeover?

08/31/2010
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I was asked a few days ago for my perspective on potential suitors for Sirius XM Radio. This is not surprising in the wake of the 3PAR (NYSE: PAR) bidding war between Hewlett Packard (NYSE: HPQ) & Dell (NASDAQ: DELL). The talk of the street these days is all about mergers and acquisitions, centered specifically on the mountains of cash that are accruing on the books of some the worlds largest compamies.

While everyone seems to focus on Liberty Capital’s (NASDAQ: LCAPA) 40% interest in Sirius XM Radio (NASDAQ: SIRI), rumors have circulated for years that Google (NASDAQ: GOOG) or Microsoft (NASDAQ: MSFT) could have an interest in the Satellite Radio provider. Forgotten in the hype is Echostar’s (NASDAQ: SATS) Charles Ergen, who made his desire to acquire Sirius XM well known just a year and half ago, when the media mogul attempted to force the company into bankruptcy in an attempt to acquire the Satellite Radio provider. I have stumbled across some recent filings, which may suggest that Ergen has not given up in his quest for Sirius XM. ...

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This entry was posted on 08/31/2010 at 12:08 pm and is filed under SIRI News. You can follow any responses to this entry through the RSS 2.0 feed.

5 Responses to Is Charles Ergen Seeking A Sirius XM Takeover?

  1. R A F on 08/31/2010 at 3:38 pm

    Sirius XM is a great fit for any one of the major media titans. It’s just a matter of time ….

  2. Hanifan on 08/31/2010 at 5:09 pm

    Thanks for the thoughts Brandon!

  3. soccermom on 08/31/2010 at 5:31 pm

    Definately another possibility to consider. Thanks for the info.

  4. boterflye on 08/31/2010 at 9:02 pm

    This article explains the speculation why we are kept so close in the $1.00 range or under a damn buck when we should be trading at $2.50 post-merger synergies along with profitable quarters. This is downright disgusting that a company with close to $3 Billion dollars in revenue, satellites worth $1B each, spectrum value worth at least $5 Billion. Therefore, our enterprise value of approximately $10-12 Billion less $3 Billion equates to a market cap of $9 Billion. We are still at a damn dollar or at a market cap of $3.5 Billion!?!?! I’ll sue Dish or whoever the acquirer is with a buy out offer less than $4 a share ($12 Billion). Someone or some fund has compelling interest to keep us at $1 (half price of its enterprise value). It seems rather important to this person or entity.

    • R A F on 08/31/2010 at 9:18 pm

      Absoultely right on. I agree with your comments, above, 100%.

      Good thing the SEC is totally on the scene!!

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