DIRECTV to Acquire EchoStar's Video Distribution Business, Including DISH TV and Sling TV

 Sept. 30, 2024

DIRECTV  and EchoStar have entered into a definitive agreement under which DIRECTV will acquire EchoStar's video distribution business DISH DBS ("DISH"), including DISH TV and Sling TV, through a debt exchange transaction. The combination of DIRECTV and DISH will benefit U.S. video consumers by creating a more robust competitive force in a video industry dominated by streaming services owned by large tech companies and programmers. The transaction will provide consumers with compelling video options while separately improving EchoStar's financial profile as it continues to enhance and further deploy its nationwide 5G Open RAN wireless network.

"DIRECTV operates in a highly competitive video distribution industry," said Bill Morrow, Chief Executive Officer, DIRECTV. "With greater scale, we expect a combined DIRECTV and DISH will be better able to work with programmers to realize our vision for the future of TV, which is to aggregate, curate, and distribute content tailored to customers' interests, and to be better positioned to realize operating efficiencies while creating value for customers through additional investment."

"This agreement is in the best interests of EchoStar's customers, shareholders, bondholders, employees, and partners," said Hamid Akhavan, President and Chief Executive Officer, EchoStar. "With an improved financial profile, we will be better positioned to continue enhancing and deploying our nationwide 5G Open RAN wireless network. This will provide U.S. wireless consumers with more choices and help to drive innovation at a faster pace. We expect DISH and EchoStar bondholders to benefit from two companies with stronger financial profiles and more sustainable capital structures."

"DIRECTV was founded 30 years ago to give consumers greater choices than incumbent cable companies for video content, and the Company's acquisition of DISH TV and Sling TV positions it to again provide more choices and better value in an industry currently dominated by large streaming platforms," said David Trujillo and John Flynn, Partners at TPG. "Our ability to execute these transactions, alongside our proposed acquisition of AT&T's 70% stake in DIRECTV announced earlier today, exemplifies the unique capabilities of the TPG platform and our experienced sector-focused investment approach as we support DIRECTV's continued investment in innovating the next generation of video services that benefit consumers."