XM Satellite and Sirius complete merger

I’ve heard about this for a while, and then on my way to work this morning Opie & Anthony who work for XM were talking about this (they work at XM while rival Howard Stern works at Sirius and they think they’ll get fired because of it).

From yahoo.com:

XM Satellite and Sirius complete merger
Tue Jul 29, 8:12 AM ET

XM Satellite Radio and Sirius Satellite Radio said Tuesday they have completed their long-pending merger.

The combined company plans to use the name Sirius XM Radio Inc. Its stock will continue to be traded on the Nasdaq under the ticker symbol SIRI. They first announced their deal in March 2007.

XM shareholders will receive 4.6 shares of Sirius common stock for each share of XM.

The combined company reaffirmed its guidance for the deal in a statement. It expects cost savings of about $400 million in 2009 and to post earnings before interest, taxes, depreciation and amortization of more than $300 million. It also plans to achieve positive cash flow, before satellite capital expenditures, in 2009.

The corporate headquarters will be located in New York, and XM Satellite Radio will remain headquartered in Washington, D.C.

The new company said it has 18.5 million subscribers.

Leave a Reply