CBS Corporation CBS and Viacom Inc VIAB are close to a merger deal that would value Viacom below its most recent closing price, Reuters reported Monday.
Shares of both media companies were trading down after the report, which cited unnamed sources in saying Viacom shareholders would receive between 0.595 and 0.5965 CBS shares for each Viacom share they own.
Reuters also reported that Viacom CEO Bob Bakish is expected to be named CEO of the combined company, while interim CBS CEO Joe Ianniello would be named CEO and chairman of CBS networks.
The deal could be announced as early as Monday, Reuters said.
If completed, the merger would reunite CBS and Viacom, which were split 13 years ago. Both are controlled by National Amusements Inc., a holding company owned by media mogul Sumner Redstone and his daughter Shari.
The uncertainty over when — or if — the two companies could complete a merger has been an overhang on CBS stock.
Price Action
CBS shares were down 1.62% at the time of publication Monday, while Viacom shares were down 4.78%.
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CBS Has Strong Quarter, But Viacom Merger Uncertainty Keeps Analysts On Sidelines
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