Dish Network Acquires Most Of Blockbuster's Assets (DISH)

Dish Network Corp. DISH said today that it had won an auction for most of Blockbuster's assets, by bidding $320 million for the assets. According to the Wall Street Journal, Dish Network's bid beat out competing bids from a group led by Carl Icahn, and a group led by Monarch Alternative Capital. According to the bid, Dish Network will pay $228 million in cash to acquire Blockbuster. "With its more than 1,700 store locations, a highly recognizable brand and multiple methods of delivery, Blockbuster will complement our existing video offerings while presenting cross-marketing and service extension opportunities for DISH Network," said Tom Cullen, executive vice president of Sales, Marketing and Programming for DISH Network. "While Blockbuster's business faces significant challenges, we look forward to working with its employees to re-establish Blockbuster's brand as a leader in video entertainment." The company expects the deal to close in the second quarter. Shares of Dish Network closed at $24.31 yesterday, down 16 cents.