NEW YORK – Time Warner Cable Inc., the nation's second-largest cable company, on Wednesday said it plans to sell $100 million in Class A shares in an initial public offering. It plans to list its shares on the New York Stock Exchange under the ticker "TWC."
All of the shares are being sold by stockholder Adelphia Communications Corp., and neither Time Warner Cable nor parent Time Warner Inc. will receive any proceeds from the proposed offering, the company said in a filing with the Securities and Exchange Commission.
New York-based Time Warner Inc. (TWX), the world's largest media and entertainment company, controls 84 percent of Time Warner Cable's shares. Adelphia controlled the remaining 16 percent stake before Time Warner Cable and Comcast, the nation's largest cable company, partnered to purchase the cable assets of the bankrupt cable provider earlier this year.
Stamford, Conn.-based Time Warner Cable has 14.4 million subscribers, including more than 5.4 million digital video customers, and provides Internet access to over 5 million customers through its own cable-based ISP, Road Runner, and through other providers.
Time Warner Cable, with about 46,000 employees, reported fiscal 2005 sales of $9.5 billion, and has a total capitalization of $29.42 billion. The company said it has no plans to pay cash dividends on its common stock in the future, and expects to retain future earnings for use in the operation and expansion of its business.