John Malones Liberty Media Corp. (LMCA) is close to a deal to acquire 25 percent of Charter Communications Inc. (CHTR) from its private-equity investors, according to a person familiar with the situation.

The firms include Apollo Global Management LLC and Oaktree Capital Management LP, Charters largest shareholders, said the person, who asked not to be named as the process is private. The stake was worth $2.28 billion at yesterdays closing price.

Charter, the fourth-largest U.S. cable operator, has been taking advantage of improving cash flow to refinance debt and add customers through the acquisition of Cablevision Systems Corp. (CVC)s Optimum West. Its shares have almost tripled since the end of 2009, when it emerged from bankruptcy protection with the deal that gave the private-equity firms their stakes.

The stock rose 9.1 percent to $98.36 at 2:45 p.m. in New York after earlier jumping to $99.50, the highest price since the bankruptcy.

Anita Lamont, a spokeswoman for St Louis-based Charter, declined to comment. Courtnee Ulrich, a spokeswoman for Englewood, Colorado-based Liberty Media, didnt immediately respond to an e-mail and voice mail seeking comment.

Charles Zehren, a spokesman for Apollo at Rubenstein Associates Inc., declined to comment. Andrea Williams, a spokeswoman for Oaktree, didnt immediately respond to a voice mail seeking comment.

Dow Jones earlier reported on the deal to sell the stake to Malone.

Started by Paul Allen, a Microsoft Corp. co-founder, in 1993, Charter filed for bankruptcy protection in March 2009 after becoming overwhelmed by more than $21 billion in debt. Allens stake dropped to 35 percent when Charter emerged with about $8 billion less debt. He has since sold almost all his remaining shares, according to regulatory filings.

Charter said earlier this month that Apollo would reduce its stake by 6.2 million shares and Oaktree would sell 3.1 million in an underwritten offering. Those transactions have already been completed, according to filings.

The company agreed earlier this month to acquire Optimum West for $1.63 billion, gaining more than 360,000 customers in Montana, Wyoming, Colorado and Utah. Charter currently serves about 5 million customers in 25 states.

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Liberty Said to Buy Stake in Charter From Apollo, Oaktree