- Broadband provider Uniti is looking to raise $100 million to purchase fibre to home operator, LNBCo
- The acquisition solidifies Uniti’s position as a fibre infrastructure provider, giving it access to 65,000 premises, with an additional 22,000 to be added in the next 18-24 months
- At today’s market close Uniti’s share price is worth $1.38 apiece, after requesting a trading halt until Wednesday, 21 August
Broadband provider Uniti is seeking to raise $100 million for the purchase of fibre to home operator, LNBCo.
The acquisition will give Uniti full ownership over LNBCo. $90 million will be paid in cash and $10 million will be issued in Uniti shares.
Obtaining the company aligns with Uniti’s goal to solidify its fibre infrastructure footprint. Giving the company access to over 418 multi-dwelling units and broad-acre residential estates, across 65,000 premises.
Over the next 18-24 months, and additional 22,000 premises will be added to LNBCo’s network. Uniti outlined the growing pipeline gives opportunity to spread the network nationally.
Earnings before interest, tax, depreciation and amortisation are forecast at $16.6 million for the 2020 financial year.
At today’s market close Uniti’s share price is worth $1.38 apiece, after requesting a trading halt until Wednesday, 21 August.