Copyright 2003 The Deal, L.L.C.

Daily Deal/The Deal

September 11, 2003 Thursday

Continuing its binge of buying out minority partners, Liberty Media Corp. agreed on Tuesday, Sept. 9, to buy the 26% it doesn't already own of On Command Corp., the world's top provider of hotel video-ordering services.

Englewood, Colo.-based Liberty issued a statement indicating it will pay about $16 million for the stake, based on On Command's previous statement that it has about 31 million shares outstanding.

Liberty is offering shareholders of Denver-based On Command the equivalent of $1.97 for each share, more than double their close of 95 cents on Tuesday. On Command shares trade over the counter.

Liberty is offering 0.166 of its own shares for each On Command share. The exchange ratio will be adjusted if the value drops below $1.90 or moves higher than $2.10 before the deal closes. Liberty shares closed Tuesday at $11.85 on the New York Stock Exchange. On Command was advised by Credit Suisse First Boston.

Liberty Media, controlled by cable magnate John Malone, in recent months has agreed to spend $7.9 billion to buy Comcast Corp.'s stake in home shopping network QVC. It is also taking full control of Liberty Satellite & Technology Inc. and UnitedGlobalCom.