Liberty Broadband (LBRDA) Stock

Charter Communications has finalized an agreement to buy John Malone's Liberty Broadband, marking another strategic move by Malone in the media industry. Although this deal may not be as high-profile as Warner Bros. Discovery or Formula One, it has been closely monitored during the negotiations over the past few months.

Investors seem to believe that Liberty Broadband and Charter Communications can find a compromise and agree on a deal for Charter to acquire Liberty.

The company announced on Tuesday morning that it has made a counteroffer to Charter.

Liberty Broadband's preferred stock provides reliable income, supported by a large investment in Charter Communications, which makes dividend payments very secure. Currently, the stock is priced below par, making it a good chance to buy. Additionally, it has a mandatory redemption at par on March 8, 2039, which is a rare and appealing feature in preferred stocks.

ENGLEWOOD, Colo.--(BUSINESS WIRE)--Liberty Broadband Corporation Announces Proposed Private Offering of Exchangeable Senior Debentures.

Following its Q4/23 earnings release, Charter Communications and its major shareholder Liberty Broadband crashed 16%. Since I don't believe fundamentals justify such a steep sell-off, the investment case for Liberty Broadband has become even more compelling. Liberty Broadband is virtually certain to outperform Charter over the long-term thanks to a 28% NAV discount and accretive buybacks.