Through The Fly's Eyes: Time Warner Telecom Inc.
Announces Two Shareholders Want To Sell Stake
Time Warner Telecom (TWTC) announced this morning that two large shareholders, Time Warner Inc. (TWX) and Advance Telecom Holdings Corp, want to monetize their equity holding in this company.
Is this a sign to sell Time Warner Telecom? No. Dick Parsons, Time Warner Inc.'s head, has been saying since taking over the company that he wants to simplify what the company owns. This is another step in this process.
Regarding Advance Telecom Holdings, they made some good money and most likely want to move on to other investment opportunities.
While TWTC's stock has had a big run, and investors mostly do not want to chase the stock up here, this is still a good long-term hold and not a stock to be dumped. Industry consolidation in the fiber-to-the-premises space for businesses is just beginning and there is plenty of money to be made.