War of Nerves Forces Adelphia to Extend Bidding Deadline

10 January 2005

Insolvent US cable operator Adelphia Communications, currently sheltering under Chapter 11 bankruptcy protection, has extended by two weeks its deadline for accepting offers for the company.

It is uncertain whether the delay is due to a dearth or over-abundance of bidders. More likely the latter, with the likes of Comcast and Time Warner known to have expressed an interest.

And given the skeletons that have tumbled from Adelphia's cupboard over the past year or two, few bidders will be inclined to rush their due diligence process. On December 23 Adelphia restated its results for the previous three years, forcing potential bidders to reassess their initial evaluations.

Assures company spokesman Paul Jacobson: "The sale process for Adelphia remains robust - and because of this high level of activity and the due diligence that's associated with it, we expect to use the full month of January for the bidding process, with final bids due at the end of the month."

Adelphia is the nation's fifth largest cable company and is offering itself for sale either as a single entity or by its component parts. But if the offers aren't to its liking, it could emerge from Chapter 11 as a refinanced standalone business.

Data sourced from New York Times; additional content by WARC staff