US telco AT&T has completed the sale of US$2bn worth of assets to local triple-play operator Frontier Communications.
The asset portfolio consists of AT&T’s wireline business, statewide fiber network, and U-verse operations in Connecticut.
As part of…
US telco AT&T has completed the sale of US$2bn worth of assets to local triple-play operator Frontier Communications.
The asset portfolio consists of AT&T’s wireline business, statewide fiber network, and U-verse operations in Connecticut.
As part of the deal, Frontier also acquired the company’s Dish satellite TV customers in the state.
Commenting on the deal, Frontier CEO Maggie Wilderotter said: “Our expansion into Connecticut shows Frontier is growing strategically in addition to organically in our suburban and rural markets.”
To finance the acquisition, Frontier issued US$1.55bn worth of notes in September and two debt facilities totalling US$1.1bn in June.
JP Morgan acted as financial adviser to Frontier while Lazard advised its independent board members.
AT&T plans to use the sale proceeds for general corporate purposes.
The telco first announced that it would divest its Connecticut’s fixed-line and fibre optic networks to Frontier in December 2013.
The sale was approved by the US Department of Justice, the Federal Communications Commission (FCC) and the Connecticut Public Utilities Regulatory Authority and other state regulatory authorities.
