Lumos Networks, a US fibre-based service provider based in the Mid-Atlantic region, has announced that it has entered into a definitive agreement to be acquired by the EQT Infrastructure investment firm, for USD18.00 per share, resulting in an enterprise value of approximately USD950 million. The share price represents a premium of 18.2% to the closing price of USD15.23 on 17 February 2017. Completion of the transaction is subject to shareholder approval, regulatory approval and other customary closing conditions. The acquisition is expected to be completed during the third quarter of 2017.
Lumos Networks serves carrier, enterprise and data centre customers, and offers end-to-end connectivity in 24 markets in Virginia, Pennsylvania, West Virginia, Maryland, Ohio and Kentucky. The telco’s networks span 9,204 fibre route miles and 475,507 total fibre strand miles, connecting 1,297 unique fibre-to-the-cell sites and 36 data centres, including seven company owned co-location facilities.
Robert Guth, chairman of the board of Lumos Networks, commented: ‘Our board of directors concluded, after a thorough review of the strategic alternatives, that the sale of Lumos Networks to EQT Infrastructure was in the best interests of Lumos Networks and its shareholders.’