Comcast (CMCSA) announced a possible offer which it says is a "superior cash proposal" to acquire Sky (SKYAY). Comcast's announcement of a superior cash proposal of GBP 12.50 per share represents a 16% increase in value over the existing 21st Century Fox offer (FOXA) for Sky. Comcast's superior cash proposal implies an equity value of $31B for Sky.

"A combination would bring attractive financial benefits to Comcast shareholders and is expected to be accretive to Comcast's free cash flow per share in year one...The acquisition would enhance the entertainment, distribution, and technology leadership of Comcast, and importantly expand Comcast's international footprint to more effectively compete in the rapidly changing and intensely competitive entertainment and communications landscape. The combined business would create compelling opportunities for growth and innovation," Comcast said in a statement.

"We think Sky is an outstanding company. It has 23 million customers and leading positions in the UK, Italy, and Germany. Sky has been a consistent innovator in its use of technology to deliver a fantastic viewing experience and has a proud record of investment in news and programming. It has great people and a very strong and capable management team. Comcast intends to use Sky as a platform for growth in Europe. We already have a strong presence in London through our NBCUniversal international operations, and we intend to maintain Sky's UK headquarters. Adding Sky to the Comcast family of businesses will increase our international revenues from 9% to 25% of Company revenues," said Brian Roberts, CEO of Comcast.