Charter Communications Inc. will acquire a majority stake in Cablevision Inc., the nation’s largest cable company, for $35.4 billion, the companies said Thursday in a filing.
The deal is expected to close in the fourth quarter.
Cablevision, which owns NBCUniversal, Disney, Comcast and other cable companies, will retain ownership of NBCUniversal Cable Communications, the filing said.
Charter’s purchase gives the company the biggest media provider in the U.K., as well as one of the most extensive offerings in the country of cable and satellite TV.
Cable TV companies are looking to expand their U.A.E. footprint.
Charter also said in the filing that it will use the money it raises to invest in broadband, which is growing rapidly in the United States.
The cable company also said it would acquire a minority stake in a new telecom company called Nextel and would also buy a stake in satellite company Sling TV.
Charter said it expects to make the first major investment in cable television in the nation, which has seen a rise in subscribers as companies such as AT&T Inc. and Verizon Communications Inc., among others, have expanded into U..
S., Canada and Latin America.
It is seeking to acquire Cablevision because it plans to offer customers in the future cable, broadband and wireless broadband services.
Cable has struggled in recent years with rising costs for its cable television services, including a merger with Time Warner Cable Inc. That move has hurt subscriber growth.
Charter expects to generate $1.2 billion in annual revenue from the deal and to invest the money in expanding the company’s U.G. business, Charter said in a regulatory filing.
It also said that Charter would invest $250 million to $350 million in a subsidiary, Cablevision TV, to help it expand its U.N. TV content.
Charter had about 2.5 million customers at the end of March.
The companies will pay a total of $34.4 million for Cablevision stock, which Charter’s CEO, Mike Roberts, called a “critical strategic asset” to the company.
Cable, the country’s second-largest cable provider, is a major player in the Internet and mobile TV markets, and Cablevision is a popular choice for customers looking for video streaming and high-speed Internet services.
Charter shares have been up about 25 percent this year.
Cable is facing an exodus of subscribers as cable companies such at Time Warner, Verizon and AT&sa.
It has said it is exploring other alternatives.