DirecTV calls off acquisition of satellite TV rival Dish — as lenders revolt

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Satellite TV giant DirecTV called off its deal with Charlie Ergen’s EchoStar to acquire rival Dish TV and other assets. The deal would have created one of the largest pay TV distributors in t…

Satellite TV giant DirecTV called off its deal with Charlie Ergen’s EchoStar to acquire rival Dish TV and other assets.

In addition, Dish bondholders had to agree to exchange their debt for new debt in the merged company at a discounted rate, taking a haircut of roughly $1.57 billion on the debt. Dish bondholders recently rejected that proposal.“We have terminated the transaction because the proposed exchange terms were necessary to protect DirecTV’s balance sheet and our operational flexibility,” Bill Morrow, CEO of DirecTV, said Thursday.

MSNBC staffers 'in a panic' as NBC parent Comcast plans to spin off channel — and possibly change its nameIt would have also provided a vital lifeline to EchoStar, which was co-founded by telecommunications entrepreneur Ergen and is currently weighed down with more than $20 billion in debt.

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