XM-Sirius: We're Not Getting Any Younger
I don’t know about you, but I'm going stir-crazy waiting for federal regulators to act on the year-old merger proposal for XM Satellite Radio and rival Sirius. The Justice Department is expected to act soon, analysts say, and the FCC will follow suit.
For months, merger-watchers have been inclined to believe that the combination, albeit delayed, would get the government's blessing but now at least one analyst isn't as hopeful. The merger "now appear less likely," Pacific Crest analyst Erik Olbeter said in a research note.
"Prospects for the merger have become increasingly cloudy," he said, noting that the waiting game suggests Justice and the FCC are having trouble justifying the deal. Olbeter says he hears both agencies "are inclined to approve the merger" but that "an argument for the deal that does not set a significant, far-reaching precedent appears elusive."
(Hat-tip to Baron's TechTrader for pointing out Olbeter's note)
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Antitrust
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