TMCnet News
Telephone and Data Systems to acquire assets of Baja BroadbandFeb 27, 2013 (Datamonitor Financial Deals Tracker via COMTEX) -- Telephone and Data Systems, Inc. (TDS), a provider of wireless, Internet, long-distance and television services, has entered into an agreement to acquire substantially all of the assets of Baja Broadband, LLC (BB), for a consideration of $267.5 million. BB is a provider of residential and commercial video, Internet and voice services. Both TDS and BB are based in the US. BB is currently owned by M/C Partners, a private equity firm, and Columbia Capital, a venture capital firm. BB has approximately 285 employees and generated annual revenues of $82.4 million in 2012. The transaction is expected to close in the third quarter of 2013. RBC Capital Markets is acting as financial advisor and Edwards Wildman Palmer LLP is acting as legal advisor to BB for the transaction. Deal Value (US$ Million) 267.5 Deal Type Acquisition Sub-Category Asset Purchase Deal Status Announced: 2013-02-26 Deal Participants Target (Company) Baja Broadband, LLC - Assets Acquirer (Company) Telephone and Data Systems, Inc. Vendor (Company) Baja Broadband, LLC Deal Rationale According to TDS, Baja Broadband's network capabilities will enable it to deliver competitive data services, while reducing the need for future capital investment. It will also support TDS' TDS Telecommunications Corp.'s broadband and video growth strategy. |