Back last year Jim Cramer was a big cheerleader for a Sirius-XM merger on his CNBC show. But now that it has actually happened, Cramer is not telling viewers to buy the stock. Rather, with all of the debt that the company has taken on, Cramer compared buying a share of Sirius-XM stock to spending a couple of bucks on a lottery ticket. He blamed AM and FM broadcasters for delaying the deal and making the companies waste money in the interim competing with each other.
See the CNBC video.
RBR/TVBR observation: We would actually agree with some of Cramer’s comments about the cost-efficiencies for the merged company, except that we would say they were reasons the DOJ and FCC should have rejected the merger. Talent gets screwed. Content providers get screwed. And, in our view, the public gets screwed.