https://apnews.com/1608531deea581aa0c4430654636234b

AT&T is spinning off its DirecTV into a new company for a fraction of the $48.5 billion it paid for the satellite TV service in 2015. DirecTV has lost millions of customers on AT&T’s watch, and is valued in the deal at just $16.25 billion, including debt.

Private equity firm TPG will own 30% of the business, while AT&T holds the rest. The telecom company will receive $7.8 billion in cash, including $1.8 billion from TPG and and $5.8 billion from the new DirecTV firm, which is borrowing that sum. The new DirecTV will also take on $200 million in debt from AT&T.