Simpson Thacher is representing Goldman Sachs as financial advisor to AT&T in connection with its announced Reverse Morris Trust transaction in which WarnerMedia will be spun-off and combined with Discovery, Inc. AT&T stockholders will receive 71% of the equity of the combined company, which will incur or assume approximately $43 billion in debt. The transaction is expected to close in mid-2022, subject to approval by Discovery shareholders and customary closing conditions, including receipt of regulatory approvals.
AT&T is a diversified, global leader in telecommunications, media and entertainment, and technology. WarnerMedia is a leading media and entertainment company that creates and distributes premium and popular content to global audiences through its consumer brands, including: HBO, HBO Max, Warner Bros., TNT, TBS, truTV, CNN, DC Entertainment, New Line, Cartoon Network, Adult Swim and Turner Classic Movies.
Discovery is a global leader in real life entertainment. Discovery delivers over 8,000 hours of original programming each year. Available in over 220 countries and territories and nearly 50 languages, Discovery is a platform innovator, reaching viewers on all screens.
The Simpson Thacher team includes Mario Ponce and Matt Gabbard (M&A).