Despite a report from Bear Stearns analyst Robert Peck, who predicts that a DOJ decision could arrive as soon as today or Monday, Bank of America analyst Jonathan Jacoby advises clients to remain "cautious" - deal or no deal.

Jacoby has remained as the devil's advocate throughout the merger proceedings, which is a good thing because it helps keep some of the more irrationally exuberant investors grounded (to a degree). Historically he's been very skeptical of the merger prospects (putting chances of approval roughly around ~30%). The interesting thing in his most recent research note, though, is that Jacoby does not dispute what Peck is reporting.

Much of the Bank of America analyst's conclusions have been based on information from DC contacts, but we don't hear about them in this note. Instead, Jacoby brings to light the high hurdles that XM-Sirius need to overcome to get approval (and there's no denying that this isn't your rubber-stamp kind of merger). If the deal is not approved, he points to significant downside. And even if the deal is approved, he feels there's not much upside.

"However, we are not ‘naïve.’ We think investors will most likely run these stocks post-merger approval," Jacoby notes.

To me, it's a significant development when the naysayers stop saying "nay."

Peck and Jacoby have been on two sides of the coin for this merger. With no significant information coming from BofA's sources disputing the information of Bear Stearns, well, I'd say that's pretty telling.

A decision by the Department of Justice on the merger between Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. could come as early as today or Monday, according to an analyst note issued this morning.

Bear Stearns analyst Robert Peck issued a research note this morning stating that a decision by the DOJ is imminent. According to Peck, conversations with their contacts in DC suggest that a DOJ decision could come as early as today or Monday.

Further, the Bear Stearns analyst believes that junior staffers at the DOJ are recommending blocking the merger, but that higher officer deputy officials likely disagree with the junior staff recommendation. The analyst expects Tom Barnett likely will rule along with the higher officials and announce that the DOJ will not be blocking the deal.

This is consistent with a Cowen & Co. note issued earlier this month, which also said that Antitrust Chief Tom Barnett is likely to approve the deal, "despite a staff recommendation against the deal."

Bear Stearns' Bob Peck also feels that the FCC has been coordinating its actions with the DOJ, and that an FCC decision will likely come near this year's end.

XM Satellite Radio Holdings Inc. stockholders have voted to approve the merger with Sirius Satellite Radio Inc, at its special meeting of stockholders today.

The preliminary tabulation indicates that 99.8 percent of the shares voted were cast in favor of the merger with Sirius.

So there's the stamp of approval from the shareholders, next up is the DOJ and FCC.

UPDATE: You may have seen this post earlier today with some slightly different numbers. They were incorrect and the post was temporarily pulled until the real numbers came in. Sorry for the confusion.

Unsurprisingly, Sirius stockholders voted to approve the merger with XM Satellite Radio Holdings Inc.

The approval by Sirius Satellite Radio Inc. stockholders includes the amendment to the certificate of incorporation and the issuance of 4.6 shares of Sirius common stock for each share of XM.

Mel Karmazin, Chairman and CEO of Sirius issued the following statement:

"The approval by Sirius stockholders of our merger with XM represents a significant step in the approval process, and on behalf of the Board and management team, I want to thank our stockholders for their continued support. We look forward to completing the merger by the end of the year and, together with XM, becoming an even stronger competitor in the ever expanding audio entertainment marketplace offering consumers more choices at lower prices."

The preliminary count indicates that over 96% of the shares voted were cast in favor of the transaction.

Just curious, did anyone actually think that Sirius shareholders wouldn't approve the merger?

Sirius Satellite Radio Inc is turning up the volume in their call for shareholders to vote for the Sirius-XM merger. They've been broadcasting promotions on the air and I recently received this email blast that I'm sure most of you found in your inbox as well.

With one day left before the shareholder votes, the anticipation is building for the final verdict of this merger.

Check out the email after the jump...

Reports have come in today claiming that Thomas Barnett, Assistant Attorney General for the Department of Justice Antitrust Division will approve the Sirius-XM merger, according to a Cowen & Company note issued today.

While no official announcement has been made, the reports have sent Sirius Satellite Radio Inc. (SIRI) and XM Satellite Radio Holdings Inc. (XMSR) stock soaring up nearly 6% today, despite a relatively weaker market. According to Cowen & Company analyst Tom Watts, the Antitrust Chief's approval would come "despite a staff recommendation against the deal."

In addition, it's reported that the announcement of a decision also might arrive as early as next week.

Watts notes that the pattern of the Antitrust Chief acting contrary to his staff's recommendations would be similar to the approval of the Whirlpool-Maytag merger of 2006. The Antitrust Chief ultimately approved the Whirlpool-Maytag merger, despite that DoJ staff was reported to be positioning to block the deal.

Cowen & Company continue to expect the Sirius-XM merger to be approved, and "take encouragement" from word that a decision come as soon as next week.

Yet another independent proxy advisory service - ISS - has lent its recommendation that Sirius and XM stockholders vote "FOR" the merger.

Earlier this week, Glass Lewis also recommended that Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. shareholders vote in favor of the merger.

The ISS analysis said, “From a strategic viewpoint, it appears that combination would allow shareholders of both companies to participate in the expected benefits of a larger entity. Our review of Wall Street research reports suggest that operational and cost savings would yield estimated synergies of approximately $6 billion.”

If regulatory approval is obtained, the combined company would be able to compete against a broader media market that includes high-definition radio, Internet-based radio, free radio and digital media devices such as Apple Inc. iPods," added ISS.