Jericho, N.Y. – Cablevision Systems announced that its chairman Charles Dolan , his son Tom and certain Cablevision Class-B investors have agreed to purchase the remaining assets of the high-definition-centric satellite service Voom and plan to continue operating the service.
The Dolans will operate the new privately-held venture under the name, Voom HD LLC, clearing Cablevision of “substantially all of the liabilities of the Rainbow DBS satellite business,” according to a Cablevision statement.
Voom HD’s principals are still trying to line up financing for the deal, but an agreement must be finalized by Feb. 28, Cablevision said.
Financial terms of the deal were not disclosed. The assets in question will not include what was previously involved in last month’s $200 million EchoStar transaction. That deal included the Rainbow 1 satellite and licenses to DBS services over 11 frequency channels.
The EchoStar deal did not include Voom’s customer base, which was last reported as 26,000 subscribers or the Rainbow original programming assets including the 21 original Voom HD channels. In the deal, the Dolans would also acquire various Ka-band, Ku-band and wireless licenses and an SES Americom lease for the Rainbow 2 satellite.