Dolans hold firm on buyout offer
EmptyNEW YORK - The Dolan family that controls Cablevision Systems Corp. will not modify its buyout offer for the cable operator despite last-minute calls for a higher price ahead of a shareholder vote on the $10.6 billion deal on Oct. 24
President and CEO James Dolan said late Tuesday the Dolan family has informed the company that it has no intention of increasing its offer to buy all Cablevision shares that it does not already own for $36.26 each in cash.
"We are looking forward to next week's vote and hope that the transaction is approved, but I'd underscore that I am completely prepared to continue to lead the company into the future as a public company if the transaction is not approved," Dolan said in a statement.
A majority of shareholders not affiliated with the Dolans must approve the buyout.
RiskMetrics Group's ISS Governance Services unit, a shareholder advisory firm, late last week recommended that Cablevision shareholders vote against the going-private deal proposed by the Dolans, citing, among other things, "the higher theoretical price estimate by analysts."
Also late last week, influential fund manager Mario Gabelli said his firm will vote its 8.3% stake in Cablevision against the buyout deal. Gabelli and his team had previously suggested the company was worth more than the $10.6 billion offered by the Dolans.