Liberty confirms the purchase and is paying a premium for the Virgin shares
John Malone's Liberty Global will buy the British pay-TV provider Virgin Media for about $15.75 billion, the company announced Tuesday.
Liberty is offering cash and stock worth more than $47 for each share of Virgin Media. The price reflects a premium of 24 percent considering Monday's closing stock price for Virgin Media.
Also read: John Malone's Liberty Global Eyes Virgin Media in Possible $24B Deal
The deal places Malone, left, against rival News Corporation CEO Rupert Murdoch, who owns Britain's largest satellite group BSkyB. Virgin is the U.K.'s second largest pay-TV provider.
Virgin, created in March 2006 with the merger of NTL Inc. and Telewest, says it has nearly five million subscribers.