Cincinnati Bell on Monday announced it is to be acquired by Canada-based Brookfield Infrastructure, a global company with assets in utilities, transport and energy and data infrastructure. The deal is valued at approximately $2.6 billion, including debt.
Cincinnati Bell Board of Directors Chairman Lynn Wentworth said in statement that after reviewing a range of options, the board determined this deal was in the best interest of the company, its shareholders and its customers. "The transaction provides clear and immediate value at an attractive premium and represents an exciting new chapter for Cincinnati Bell."
According to President and CEO Leigh Fox, that includes a strengthened financial position and accelerated investment. "This will allow us to drive growth and maximize value over the long term to the benefit of all our stakeholders," he said in a release. "With Brookfield Infrastructure's support, we will be better positioned to deliver next generation, integrated communications for our customers through an expanded fiber network."
The business is currently upgrading its network to next generation fiber, which is critical to support the growing demand for data and 5G.
Cincinnati Bell owns and operates in over 1.3 million homes across Cincinnati and Hawaii. The transaction is expected to close by the end of 2020.
WVXU has reached out to a representative for comment and is awaiting a response.