Comcast Corp.’s announcement on Thursday that it has agreed to merge with Time Warner Cable could potentially earn hedge fund firm Paulson & Co. $141 million.
Bloomberg reported that New York-based Paulson & Co., which owned 6 million shares in Time Warner at the end of last quarter, would receive 17.25 million Comcast shares if the deal goes through. The deal is valued at $953 million based on the closing share price.
Paulson & Co. founder John Paulson told the news outlet in a telephone interview that the deal between the two cable providers is the “ideal merger.” The transaction, subject to approval by stockholders and regulators, is expected to be completed by the end of 2014.
Paulson rose to fame after making $3.7 billion in 2007 by short-selling subprime mortgages. Paulson & Co., with additional offices in London and Hong Kong, currently manages approximately $21 billion in assets.