Report: Bright House To Walk From Charter Deal

Bright House Networks, the sixth largest U.S. cable operator, is preparing to abandon a $10.4 billion deal to be acquired by larger peer Charter Communications Inc, according to Reuters.

Charter, the No. 4 U.S. cable operator, clinched the deal with Bright House in March contingent on completion of Comcast Corp's $45.2 billion merger with Time Warner Cable Inc (TWC.N). Comcast walked away from the Time Warner Cable deal last month because of antitrust hurdles.

Charter's agreement with Bright House includes a 30-day provision for them to renegotiate a deal in this event. That period lapses in about two weeks. Even though negotiations are still formally continuing, Bright House, which is controlled by the Newhouse family, owner of magazine publisher Conde Nast, now believes it best to remain independent.

Time Warner Cable has an agreement to negotiate programing rates for Bright House, as well as share technology, in exchange for a fee.

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