Sirius and XM merge, trade under 'SIRI' - Top Stocks Blog - MSN Money
 
Search Top Stocks:

Sirius and XM merge, trade under 'SIRI'

Posted Jul 29 2008, 01:43 PM by Kim Peterson
Rating:
Filed under:

Two satellite radio companies are now one. Sirius and XM have finished their merger, and the new company is called Sirius XM Inc. Starting today, the company began trading under the former Sirius ticker ("SIRI") and shares are down 16% to $1.58.

Sirius XM threw out some numbers today to assure investors. It expects to save $400 million next year, and its earnings could be $300 million before taking out money to pay interest, taxes, depreciation and amortization. It's planning on positive cash flow by 2009.

A Goldman Sachs analyst reminded investors of a worrisome issue, though: $1.1 billion in debt is coming due next year. The company also announced the pricing of 262 million shares of common stock that it's offering. About 184 million shares are priced at $1.50 and the remaining 79 million shares will come up for sale at different prices from time to time.

The new company has 18.5 million subscribers.

 

Back to Top Stocks Digg this | Email this | Link to this
Comments

 

It's about time. The FCC has dragged their feet long enough with this merger. It's about time.

Todd (Posted 07.29.08 2:11 PM) Report Abuse

Im waiting on the new lineup and i might even jump into buying stocks.

CYBERxNUKE (Posted 07.29.08 2:44 PM) Report Abuse

Todd, Did you own some stock?

John in chicago (Posted 07.29.08 2:53 PM) Report Abuse

Word them up!

chris (Posted 07.29.08 4:30 PM) Report Abuse

Better invest NOW!

Chris (Posted 07.29.08 4:38 PM) Report Abuse

Not a fan of the merger.  XM and Sirius are already overpriced, if they have debt coming due, what will they do...raise the price.  Perhaps add commercials, or wait XM has already done that on some channels.  There is now no direct competition so the subscriber will foot the bill.  While the satellite radio content is nice,  it might be time to figure if the content is really worth it

Troubled XM Listener (Posted 07.29.08 4:40 PM) Report Abuse

I  am also anxious to see the new lineup...hoping my favorite channel previously offered on sirius will be included.  

rlsgtc (Posted 07.29.08 5:07 PM) Report Abuse

No matter the cost....the service is worth it.   I've had XM for over 4 years and would NEVER go back to the local advertising stations again.  You pay heavy fees for cable....and you probably spend more time in your car than on your couch...so why not have the best there is.   I travel ALOT, so the content is worth it to me.

GO XM!!!!!

areo (Posted 07.29.08 9:56 PM) Report Abuse

If they add more commercials I will leave satellite.  Why pay for commeercials when you can get that free on regular air stations

ikeproc (Posted 07.29.08 10:47 PM) Report Abuse

I don't see the point in pay for commericals that was the soul reason for the satellie radio (advertising a least) when both companies started now they are one it is not worth the price i would pay vs FREE fm radio or an ipod!

southernsweet_t (Posted 07.30.08 12:35 AM) Report Abuse

1 2 3 4 > Last

Send a Comment

Comments must be directly related to the blog entry. Comments with offensive language will be deleted. Your e-mail address won't be displayed.

(please, no HTML tags. Web addresses will be hyperlinked):