By Liana B. Baker
(Reuters) - Charter Communications Inc is nearing a $55 billion agreement to acquire Time Warner Cable Inc, combining the third- and second-largest U.S. cable operators, a person familiar with the matter said on Monday.
The cash and stock deal, which values Time Warner Cable at $195 per share, comes just one month after Comcast Corp dropped its $45.2 billion merger agreement with Time Warner Cable over antitrust concerns.
Charter will pay $100 per share in cash and the rest in its own stock, the person said. The deal is expected to be announced on Tuesday and includes the acquisition of the sixth-largest U.S. cable operator, Bright House Networks, by Charter, the person added.
Charter Chief Executive Tom Rutledge is expected to be CEO of the combined companies, the person said.
Time Warner Cable declined to comment, while Charter and Bright House did not immediately respond to a request for comment.
Time Warner Cable shares closed Friday at $171.18.
Bloomberg first reported on the deal.
(Reporting by Liana B. Baker in San Francisco; Editing by Nick Zieminski)
