John Malone’s Liberty Media Corp. agreed to buy about 27 percent of Charter Communications Inc. for about $2.62 billion, betting that the formerly bankrupt cable company can thrive in an era of digital services.

Liberty will pay $95.50 apiece for about 26.9 million shares and 1.1 million warrants for Charter’s private-equity investors Apollo Global Management, Oaktree Capital Management and Crestview Partners, according to a statement today. The transaction is expected to close by mid-May.

Subscribe Now

Complete access to real-time information and analysis of news and trends in the industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.