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Shentel and T-Mobile make a deal
Shenandoah Telecommunications Company (Shentel) announced the purchase price of their wireless assets by T-Mobile is complete at $1.95 billion.
Shentel and T-Mobile expect the transaction will close in the second quarter of 2021.
After-tax proceeds for Shentel will be approximately $1.5 billion.
Shentel plans to use the proceeds to, among other things:
- Repay approximately $702 million of outstanding term loans and swap liabilities and terminate the respective agreements;
- Issue a special dividend of $18.75 per share to Shentel’s shareholders;
- Provide adequate liquidity for growth and potential strategic acquisitions; and
- Provide liquidity for general corporate purposes.
Shentel expects to pay the special dividend in the second quarter 2021 after the close of the Shentel Wireless transaction, subject to the approval of Shentel’s Board of Directors.
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