- Windstream Holdings (WIN) agrees to acquire Earthlink Holdings (ELNK) in an all-stock deal valued at ~$1.1B, including debt, confirming earlier speculation.
- Upon closing, WIN shareholders will own ~51% of the combined company, and ELNK shareholders will own the remaining 49%.
- Under the terms of the deal, ELNK shareholders will receive 0.818 WIN shares for each ELNK share owned, which values ELNK at $5.92/share, a 9% premium to ELNK’s closing price on Nov. 3, the day before merger talks were first reported.
- The companies say they have identified $125M-plus in annual operating and capex synergies that are expected to be fully realized within 36 months of closing.