Oppenheimer: Daily Datatimes (DISH, TWC, NAVI, T, VZ)

Oppenheimer is out this morning with a research report highlighting companies in the communications and internet infrastructure industry. In the report, Oppenheimer highlighted DISH Network's DISH recent agreement to acquire DBSD North America for a value of approximately $1 billion. In the report, Oppenheimer states, "This transaction is to be completed upon satisfaction of certain conditions, including approval by the FCC and DBSD North America's emergence from bankruptcy. DBSD has ~40MHz of S-band spectrum in the 2GHz range which DISH could use (depending on FCC conditions) to buildout a wireless broadband network (which would be positive for the towers). In order to remain competitive, DISH needs to come up with a facilities-based triple play strategy and this purchase makes sense from that perspective." Oppenheimer also highlighted Time Warner Cable's TWC announcement yesterday of their intent to acquire NaviSite NAVI. In the report, Oppenheimer notes, "The acquisition is on the heels of Verizon's agreement to buy TMRK and also highlights the attractive fundamentals of the Internet infrastructure space driven by the ongoing migration to cloud computing. We believe incumbents (T, VZ, CTL-Q) and some foreign carriers would be potential acquirers in this space given their solid balance sheets, modest legacy growth and potential to leverage existing enterprise customers and other assets. Among the most likely targets are SVVS, RAX, CCOI ($13.91, Not Rated), LVLT and LLNW ($6.47, Not Rated)."