US cable operator Knology is reportedly exploring a possible sale of the business, with private equity firms among the potential buyers, according to a media report.
Citing people familiar with the matter, the Wall Street Journal reported that Knology…
US cable operator Knology is reportedly exploring a possible sale of the business, with private equity firms among the potential buyers, according to a media report.
Citing people familiar with the matter, the Wall Street Journal reported that Knology has hired a financial adviser in recent weeks. The sources reportedly said that the total enterprise value of the deal could be approximately US$1.5bn.
A spokeswoman for Knology was not immediately available for comment.
The company’s shares closed yesterday, after the WSJ had published its report, at US$17.83, giving a market capitalisation of US$673m. The company also reportedly has around US$700m in net debt.
Knology posted net income of US$11.6m for Q4 2011, compared to a loss of US$13m in Q4 2010. Adjusted EBITDA for the full-year 2011 was US$187m, up 17.6% on the previous year.
Knology provides cable TV, internet and voice services, predominantly in the south east of the US.