(RTTNews) - AT&T (T) has agreed to sell its majority interest in DIRECTV Entertainment Holdings LLC to TPG, which holds the minority interest, for which AT&T expects to receive approximately $7.6 billion in cash payments from DIRECTV and the buyer through 2029. This represents: $1.7 billion of pre-tax quarterly distributions in the second half of 2024, inclusive of the expected pre-tax quarterly distribution for the third quarter of 2024, which is not part of the agreement; $5.4 billion of after-tax cash distributions and other payments not subject to tax in 2025; and $0.5 billion of final payments in 2029 of after-tax proceeds.
The company said the sale allows it to continue to focus on being the leading wireless 5G and fiber connectivity company in America. AT&T noted that the deal also continues to strengthen balance sheet by pulling forward cash expected over the next several years.
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