Comcast Corp. will acquire the minority share in NBCUniversal still owned by General Electric Co. in a deal valued at $16.7 billion.
The purchase by Philadelphia-based Comcast accelerates GE’s divesture of the entertainment and media company that was to begin in July 2014. The West Coast headquarters of NBCUniversal is in Universal City.
Comcast purchased 51 percent of NBCUniversal in 2011.
The decision by Comcast to buy GE’s share is driven by a sense of optimism for the future prospects of NBCUniversal and a desire to capture future value for shareholders, said Comcast Chairman and Chief Executive Brian Roberts.
“We believe the terms of the transaction are attractive and have planned for this event by taking a number of financial steps to prepare our balance sheet,” Roberts said in a prepared statement. “We believe we are in a strong and unique position to continue to grow and build value in our combined company.”
The acquisition will be financed with cash, senior unsecured notes, borrowed money and issuance of preferred Comcast stock to GE.
In a separate deal, Comcast is buying properties used by NBCUniversal at 30 Rockefeller Plaza in New York City and CNBC headquarters in New Jersey for $1.4 billion.