AT&T Inc. completed its $85.4 billion acquisition of Time Warner Inc., bringing Warner Bros., HBO and Turner Broadcasting System Inc. under the former's leadership.
AT&T has issued 1,185,000,000 shares of common stock and paid $42.5 billion in cash. Time Warner shareholders in turn received 1.4 shares of AT&T common stock, in addition to $53.75 in cash per Time Warner share.
Including Time Warner's net debt, AT&T now has a net debt of $180.4 billion, AT&T said in a statement.
Time Warner's former Chairman and CEO Jeff Bewkes will remain with the company as a senior adviser during the transition period.
Meanwhile, all Time Warner staff reporting to Bewkes will be moved under the leadership of John Stankey, CEO of AT&T's media business.
AT&T Chairman and CEO Randall Stephenson said in a statement that AT&T will "bring a fresh approach to how the media and entertainment industry works for consumers, content creators, distributors and advertisers."
The acquisition brings together AT&T's regional sports networks and interest in the MLB Network (US) with sports rights held by Turner Broadcasting System Inc., including Turner's news and video website Bleacher Report, which launched a direct-to-consumer service in March.
AT&T Watch, a proposed skinny over-the-top package is also expected to launch "as soon as Time Warner is closed," Stephenson earlier said. The service could include sports content from Turner networks TNT (US) and TBS (US) and to a lesser extent, truTV (US).
The completion of the deal comes shortly after a U.S. district court judge ruled to allow the deal to push through.