Viacom Stock Drops as CBS Backs Away From Merger Talks
“We believed that given the industry landscape, a merger might redound to the benefit of both companies and their shareholders,” National Amusements CEO Sumner Redstone and president Shari Redstone said in a joint statement.
The company’s stock price has basically halved since its height two years ago in the midst of troubled performance by cable networks like MTV and Comedy Central as well as the Paramount movie studio.
“We know Viacom has tremendous assets that are currently undervalued, and we are confident that with this new strong management team, the value of these assets can be unleashed,” the Redstone statement continued.