Once completed the deal will give Cable ONE leading fibre within its existing footprint and further enables the company to provide its customers with enhanced business services solutions.
“We are excited to partner with the Clearwave team, who have built a highly successful business services platform in non-urban markets with similar characteristics to ours,” said Julie Laulis, president and CEO of Cable ONE (pictured). “This transaction provides us with a unique opportunity to continue to grow Clearwave in its existing footprint as well as expand our fibre footprint and enterprise business segment.”
In addition, the deal will give Cable ONE the ability to copy Clearwave’s strategy in several of the company’s existing markets. At present Clearwave has more than 2,400 route miles of dense metro fibre infrastructure connecting close to 2,700 on-net businesses, towers and data centres.
“This is a very exciting day for our employees, customers and shareholders,” said Matt Dement, president and CEO of Clearwave. “Since inception, Clearwave has been dedicated to deploying best-in-class network infrastructure across southern Illinois. As a part of Cable ONE, we will have the opportunity to significantly expand our geographic presence while maintaining our core values of quality, reliability and superior customer support.”
The all-cash deal is expected to close in the first quarter of 2019 and is subject to certain regulatory approvals as well as other customary closing conditions.
For the third quarter of 2018, Cable ONE reported overall positive results. Total revenues for the company were up 5.7% compared to the same quarter in 2017, totalling $268.3 million. Net income reached $38.3 million up 24% year-on-year (yoy). Adjusted EBITDA was $122.7 million, an increase of 6.1% yoy.
