Nationwide telecommunications firm Verizon Communications Inc. announced on September 6 that it had reached a definitive agreement with Frontier Communications Parent, Inc. to acquire Frontier for $20 billion in an all-cash transaction.
Frontier, which serves several regions of the US including all of Connecticut and portions of New York is the single largest pure-play fiberoptic internet provider in the US. The deal will greatly expand access to Verizon’s Fios network, and bring 2.2 million subscribers across 25 states into the fold.
Plans to continue the expansion of Frontier’s network to reach 2.8 million new fiber locations by the end of 2026 remain in place.
“Connectivity is essential in nearly every part of our lives and work, and no one delivers better than Verizon,” said Verizon Chairman and CEO Hans Vestberg. “Verizon offers more choice, flexibility and value, and we continuously look for ways to provide the best product and network experience to our customers as we bolster our position as the provider of choice.”
“Less than four years ago, we set out an ambitious plan to Build Gigabit America, the digital infrastructure this country needs to thrive for generations to come,” said Nick Jeffery, President and CEO of Frontier. “Today’s announcement is recognition of our progress building a best-in-class fiber network and delivering reliable, high-speed broadband to millions of customers across the country. It’s also a vote of confidence for the future of fiber. I am confident that this delivers a significant and certain cash premium to Frontier’s shareholders, while creating exciting new opportunities for our employees and expanding access to reliable connectivity for more Americans.”
Verizon will acquire Frontier for a price of $38.50 per share in cash. The transaction ha unanimous approval by the boards of both companies, with an anticipated final close in 18 months pending the approval of Frontier shareholders and regulatory approvals.
The full press release can be found at: https://www.verizon.com/about/news/verizon-to-acquire-frontier
