S&P: CBS unchanged

Standard & Poor's said that the announcement by CBS Corp. (BBB/stable/A-2) that it is acquiring CNET Networks Inc. in a cash tender offer for $11.50 per share, or just under $1.8 billion, has no effect on the ratings on CBS and its subsidiaries

The agency said it views the acquisition as reasonable in size given the company's moderate leverage, discretionary cash flow and cash on hand.

S&P said it sees the acquisition as broadly complementary to CBS's existing online business, but believe online acquisitions bring certain challenges different from those of traditional media bolt-on acquisitions, such as technology, strategy, culture and back-office integration.

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