Cable television operator Tele-Communications Inc is getting into the telephony business in a big way, buying a 49.9% stake in Merrill Lynch & Co’s Teleport Communications Group, which builds and operates Metropolitan Area fibre-optic telephone networks in major US cities. Media group Cox Enterprises Inc holds 12.5% of Teleport and is considering whether to exercise its option to buy Merrill’s remaining shares: Tele-Communications is required to buy the remaining 37.6% otherwise. Terms of the proposed transaction were not given.
