Consolidated closes FairPoint buyout

Consolidated Communications closed its $1.3 billion purchase of FairPoint Communications. The all-stock deal is based on present equity value – $200 million less than when the deal was announced last December – and includes debt. Consolidated provides broadband and business services in 11 states. Purchasing FairPoint will help the company expand into northern New England, adding about 17,000 miles of fiber.

“Our members and our customers have been through the ringer with FairPoint over the last eight years,” said Don Trementozzi, president of Communications Workers of America (CWA) Local 1400. “Our primary concern is that this transaction result in a more stable company that puts a priority on strengthening communities, not enriching Wall Street hedge fund owners.”

Links:

Consolidated Communications completes deal to acquire FairPoint (Union Leader, July 3, 2017)

Consolidated Communications to buy FairPoint for $1.5 billion (Speed Matters, Dec. 8, 2016)