Shenandoah Telecommunications CoNASDAQ
Fri, Apr. 15, 7:35 PM
- Shenandoah Telecommunications (SHEN +0.4%) says the FCC has approved its $640M proposal to acquire NTELOS Holdings (NTLS +0.2%), clearing the way for the transaction to close within the next few weeks.
- The deal will more than double Shentel's wireless customer base, while firming up its relationship with Sprint, which helped engineer a complicated three-way transaction regarding spectrum management fees and Sprint branding.
- Shentel and NTELOS had extended the outside date of their merger agreement in February, from the end of that month to June 28, to allow the FCC to act.
- SHEN and NTLS were flat in after-hours trading today.
- Now read Shenandoah: Sizeable Upside With Increased Scale From A Lucrative Acquisition »
Fri, Feb. 26, 5:44 PM
- In an 8-K, NTELOS (NTLS -0.2%) says that the outside date of its merger agreement with Shenandoah Telecommunications (SHEN -2.8%) is being extended from Monday (Feb. 29) out to June 28.
- That's to allow time for an FCC approval that hasn't yet arrived. The company says many of a number of merger conditions have been satisfied, including shareholder OK, approval by state regulatory agencies, and expiration of the Hart-Scott-Rodino waiting period.
- NTELOS says it expects the merger to close as soon as practical following an FCC order approving the deal.
Mon, Jan. 4, 6:38 PM
- Shenandoah Telecommunications (SHEN -4.1%) is acquiring small West Virginia provider Colane Cable for $2.4M.
- Shentel promises it will upgrade Colane's customers -- who receive cable, telephone and high-speed Internet -- with faster broadband, more HD channels and improved phone service.
- The two expect to close the deal this quarter.
Aug. 17, 2015, 1:33 PM
- Shenandoah Telecommunications (SHEN +0.2%) is reshuffling operations executives as it prepares to integrate networks from NTELOS Holdings (NTLS -0.7%), which it's agreed to buy in a $640M deal.
- Shentel has named William Pirtle senior VP of marketing/sales, Thomas Whitaker senior VP of operations, and Edward McKay senior VP of engineering/network planning.
- It's a functionally based realignment that should aid in the upgrade of NTELOS networks as the acquisition goes through.
- The acquisition doesn't just improve Shentel's wireless footprint, but also improves fiber and cable holdings as well.
Aug. 11, 2015, 1:54 PM
- Shenandoah Telecommunications (SHEN +21.2%) and NTELOS Holdings (NTLS +23%) are both up sharply in the wake of their news that Shentel is buying out NTELOS in a $640M deal.
- In a conference call to discuss the deal, Shentel CEO Chris French pointed to a combined network that covers 4.3M points of presence and 1M subscribers, essentially doubling Shentel's POPs, revenue and OIBDA.
- The deal's got mildly complicated terms as a three-way transaction ("win-win-win") with Shentel affiliate partner Sprint (NYSE:S), who will compensate Shentel to the tune of $252M in spectrum management fees (to be received in full within 5-6 years) and convert nTelos-brand customers to Sprint-branded, as well as take over NTELOS spectrum.
- As for Sprint's coming to the table to make it happen: "I think it really came down to economics on both sides," said COO Earle MacKenzie. Sprint is "going to save the dollars that they spent or would be spending to buy the wholesale usage from nTelos and, you know, we were able to provide a network. We also were committed to spending additional capex there which will reduce their roaming expenses to others and provided a great return for our shareholders."
- Shentel says it will complete a 4G LTE upgrade where NTELOS had a "good head start."
- Meanwhile, FBR & Co. upgraded Shentel to Outperform, from Market Perform. The analysts raised the price target to $40, from $33; that's 10.9% upside from yesterday's close, though shares now trade at $43.70.
- Previously: NTELOS up 20% on $640M buyout by Shentel (Aug. 10 2015)
Aug. 10, 2015, 5:14 PM
- NTELOS Holdings (NASDAQ:NTLS) is up 20.1% after hours as it says it's to be acquired by Shenandoah Telecommunications (NASDAQ:SHEN) in an all-cash deal of about $640M, including net debt.
- The deal -- the subject of rumors before -- means NTELOS shareholders will get $9.25/share (about $208M in cash) and Shentel will take on net debt of $431M.
- Shentel correspondingly has expanded its affiliate relationship with Sprint (NYSE:S), which will shutter the "nTelos" brand and make the company's customers into Sprint-brand customers.
- The move is a "liquidity event at an attractive premium," says NTELOS CEO Rod Dir.
- Sprint shares gained 14% earlier today, to rise to their highest point in a month.
- Previously: NTELOS down 15%, gives back takeover-rumor gains (Jun. 09 2015)
- Previously: NTELOS up 19.7% on chatter Shentel could pay near-50% premium in buyout (May. 13 2015)
May 13, 2015, 10:10 AM
- NTELOS Holdings (NASDAQ:NTLS) has jumped 19.7% on rumors that Virginia-based Shenandoah Telecommunications (NASDAQ:SHEN) is looking at a takeover that would come to $200M in cost, the Financial Times' Alphaville is reporting.
- That would mean a near 50% premium to Tuesday's close, around $9.25 a share vs. NTELOS' Tuesday close of $6.20.
- Shentel and NTELOS operate with significant overlap in mid-Atlantic/Appalachian states including Virginia, West Virginia and Maryland.