16 Dec
Windstream Plans $600 Million Private Note Offering To Pay For NuVox
Posted in Uncategorized by Jonathan No CommentsWindstream Corp. (WIN) planned a private offering of another $600 million in eight-year notes, after issuing $400 million of them in September, to help pay for its takeover of privately held NuVox Inc.
The deal was one of several recently announced acquisitions by the regional telecommunications-services provider, which has been on a shopping spree to increase its size and reach in rural America. The note offering will help pay for the cash portion of the NuVox purchase, valued at $643 million including the assumption of $180 million in debt.
Telecommunications firms, which have lost customers as people switch to cable phone lines or opt to only use cellphones, have been quick to strike mergers, seeking to pass capital expenditures and operating expenses across a wider base.
Last month, Windstream said its third-quarter profit fell more than expected on lower revenue and margins, but the company pointed to solid broadband customer growth.
Shares weren’t active premarket after closing at $10.91 on Monday.





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