Incoming TWC CEO in No Rush to Sell Company
Time Warner Cable's incoming chief executive Rob Marcus said on Monday he is not in a hurry to sell the company and that management is focused on running the business for the "long haul."
Speaking at an investment conference, Marcus said his job as CEO will be to do what is best for shareholders and that he would be open to selling the company if a deal would benefit investors.
"Whether or not Time Warner Cable will participate in M&A is and always has been, whether as a buyer or seller, 100 percent driven by what's in the best interest of our shareholders," he said.
Time Warner Cable is the subject of takeover speculation and is being circled by suitors such as Charter Communications Inc, Comcast Corp and privately held Cox.
Time Warner Cable shares were flat at $131 in late-morning trading on the New York Stock Exchange.
Marcus also said in a question-and-answer session there would be general benefits to consolidation in cable, such as eliminating overhead and reducing programming and infrastructure costs.
He said he is "committed to fixing" the company's residential business, which has suffered major declines over the past few years, while also expanding the business services unit. He forecast business services would grow to $5 billion in revenue over the next four to five years.
He said the recent hiring of Dinni Jain as chief operating officer was an example of an improvement to Time Warner Cable's management team. Jain was a top executive at Insight Communications when Time Warner Cable acquired that company last year. He takes up his new post on January 13.
Marcus is currently Time Warner Cable COO and president and takes over as CEO on January 1.
Reuters reported on Friday that Comcast, the No. 1 U.S. cable provider, has tapped JPMorgan Chase & Co for advice as it evaluates a potential bid for Time Warner Cable, the industry No. 2.
Comcast does not plan to make a pre-emptive bid for the company but could jump in if signs emerge that much smaller rival Charter, which has been pursuing Time Warner Cable for months, is getting close to a deal.