US private equity firm Oak Hill Capital has completed its previously agreed acquisition of Otelco, a wireline provider which serves Alabama, Maine, Massachusetts, Missouri, New Hampshire, Vermont and West Virginia. The deal is valued at USD11.75 per share in cash, representing a total equity purchase price of USD40.6 million. As a result of the transaction’s completion, Otelco’s common stock ceased trading at the close of market on 31 March and has now been delisted from the NASDAQ Stock Market.
Oak Hill is an experienced investor in the fibre-to-the-premises (FTTP) space. The firm’s current investments include NetSpeed (GoNetspeed), an FTTP operator serving residential and business customers in Pennsylvania and Connecticut, and Lantek Fiber Optic Services, a fibre construction company.