Recent Mergers & Acquisitions In The Telecom Industry
Mergers & Acquisitions: Fiber Acquisition Operations Arkansas, LLC Purchasing Arkwest Communications, Inc.
June 2, 2025 – The FCC’s Wireline Competition Bureau is seeking public comment on a Section 214 transfer of control application filed by Arkwest Communications, Inc. (Arkwest / Licensee), Spectracomm, Inc. (Spectracomm / Transferor), and Fiber Acquisition Operations Arkansas, LLC (Fiber Acquisition / Transferee), requesting FCC consent to transfer control of Arkwest from Spectracomm to Fiber Acquisition. Comments are due on or before June 16, 2025, and reply comments are due June 23, 2025.
Arkwest, the acquisition target, is an Arkansas corporation. It operates a 100% fiber-to-the-premise (FTTP) network that provides local and long-distance telephone and broadband internet access service to residents in Yell, Scott, and Perry counties in Arkansas. Arkwest holds blanket domestic Section 214 authority, and is an Eligible Telecommunications Carrier (ETC).
Spectracomm is an Arkansas corporation that acts as a holding company. It owns 100% of the equity interests in Arkwest. Spectracomm holds no state or federal license, and is not affiliated with any other domestic service provider.
Fiber Acquisition is a Delaware corporation that does not hold any state or Federal licenses. It is a wholly owned subsidiary of Fiber Acquisition Operations, LLC dba PhireLink. PhireLink owns Rebeltec Communications, LLC, which provides high-speed fixed wireless and fiber-based broadband internet service to residential and business customers in Southeastern Colorado and Western Kansas. PhireLink also owns Camellia City Fiber, LLC, which provides high-speed fiber-based broadband internet services and Tammany Wireless Holdings, LLC, which provides high-speed fixed wireless broadband internet services, both to residential and business customers in St. Tammany Parish, Louisiana. Fiber Acquisition is thereby affiliated with Rebeltec, Camellia, and Tammany Wireless through common ownership. PhireLink is wholly owned by Fiber Acquisition Holdings, LLC, which is ultimately controlled by Glenn F. Post, James Davidson, and Benjamin A. Friedman, each a U.S. citizen.
Pursuant to the terms of an April 25, 2025, Stock Purchase Agreement, Fiber Acquisition will acquire all of the outstanding capital stock in Spectracomm. Arkwest will remain the wholly owned direct subsidiary of Spectracomm, and Spectracomm will become a directly owned subsidiary of Fiber Acquisition. Indirect control of Arkwest will be transferred to Fiber Acquisition. The Transaction will not affect the rates, terms, and conditions under which Arkwest’s current customers receive service, and will not result in the discontinuance of service to any of Arkwest's customers.
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Mergers & Acquisitions: FCC Approves Verizon’s $20 Billion Acquisition Of Frontier
May 16, 2025 – The FCC’s Wireline Competition Bureau, Office of International Affairs, and Wireless Telecommunications Bureau have issued a Memorandum Opinion And Order that approves the transfer of control of domestic and international section 214 authorizations and wireless licenses held by wholly-owned subsidiaries of Frontier Communications Parent, Inc. (Frontier) to Verizon Communications Inc. (Verizon). The FCC’s reasoning for granting the transfer of control application is summarized as follows:
After carefully and thoroughly reviewing the record and evaluating the likely public interest effects of the proposed transfer, we do not find any material transaction-related public interest harms arising from the proposed transfers of control. Further, we find that certain public interest benefits are likely to be realized, including the upgrading and expansion of Frontier’s fiber network. Accordingly, we conclude that granting the applications serves the public interest, convenience, and necessity.
The FCC approved the acquisition following Verizon’s decision to end its diversity, equity, and inclusion (DEI) program. Paragraph 33 of the Memorandum Opinion And Order addresses the Verizon’s decision to end its DEI policy and practices:
We also recognize Verizon’s commitment to equal opportunity employment and nondiscrimination as strengthening its investment and service quality efforts. Verizon states it is modifying its practices, including its leadership structure, training, corporate sponsorships, supplier selection, hiring, career development resources, and public and internal messaging, and has also committed to applying these changes to Frontier following the close of the proposed Transaction. We accept Verizon’s commitment to modify its practices as firm and definite, and expect that these changes will prevent DEI discrimination in the post-transaction company, as consistent with the law and the public interest.
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Mergers & Acquisitions: ImOn Communications Acquiring Danville Mutual Telephone Company In Iowa
May 23, 2025 – The FCC’s Wireline Competition Bureau is seeking public comment on a Section 214 application filed by Danville Mutual Telephone Company (Danville) and ImOn Communications, requesting FCC consent to transfer control of Danville to ImOn. Comments are due on or before June 6, 2025. Reply comments are due June 13, 2025.
Danville is an Iowa corporation and incumbent local exchange carrier that provides local exchange and interexchange telecommunications services to residents and businesses in Danville, Iowa. Danville is an eligible telecommunications carrier (ETC), and receives Universal Service Fund (USF) support through the Enhanced Alternative Connect America Cost Model (E-ACAM).
ImOn, an Iowa limited liability company, provides competitive local exchange and interexchange telecommunications services, high-speed Internet, interconnected VoIP, and cable services to residents and businesses in Iowa, Nebraska, and South Dakota. It recently obtained intrastate authority to provide telecommunications services in Wisconsin, and has an application pending to provide intrastate telecommunications services in Minnesota. ImOn is indirectly wholly owned by Hawkeye Topco Holdings, LLC, a Delaware limited liability company, which, in turn is ultimately controlled by the Goldman Sachs Group, Inc. (Goldman Sachs), a Delaware corporation.
Pursuant to a May 2025 Agreement and Plan of Merger by and among ImOn, Holdings Purchaser, Inc. (“Merger Sub”), Danville and Danville’s subsidiary Tri-County Satellite T.V., Inc., Merger Sub will merge with and into Danville, with Danville surviving the merger. As a result, Danville will become a direct, wholly owned subsidiary of ImOn Holdings, Inc., an Iowa corporation, and an indirect, wholly owned subsidiary of ImOn.
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Mergers & Acquisitions: Charter Communications Merging With Cox Communications In $34.5 Billion Deal
May 16, 2025 – Charter Communications, Inc. and Cox Communications have announced that they have entered into an agreement to merge their companies. Charter is one of the largest U.S. broadband providers, with roughly 30.1 million broadband customers across 41 states. Cox is the largest private broadband company in the U.S., serving around seven million homes and businesses across 18 states.
Within a year after the deal closes, the combined company will change its name to Cox Communications, and Spectrum will become the consumer-facing brand within the communities Cox serves. The transaction is subject to customary closing conditions, regulatory approvals, and Charter shareholder approvals. The combined entity will assume Cox’s approximately $12 billion in outstanding debt. Charter’s press release announcing the deal provides the following additional details of the transaction:
Charter will acquire Cox Communications’ commercial fiber and managed IT and cloud businesses, and Cox Enterprises will contribute Cox Communications’ residential cable business to Charter Holdings, an existing subsidiary partnership of Charter.
The proposed transaction values Cox Communications at an enterprise value of approximately $34.5 billion.
As consideration in the transaction, Cox Enterprises will receive: $4 billion in cash; $6 billion notional amount of convertible preferred units in Charter’s existing partnership, which pay a 6.875% coupon, and which are convertible into Charter partnership units, which are then exchangeable for Charter common shares; and Approximately 33.6 million common units in Charter’s existing partnership, with an implied value of $11.9 billion, and which are exchangeable for Charter common shares.
The combined company will remain headquartered in Stamford, CT, and will maintain a significant presence on Cox’s Atlanta, GA campus following the closing.
Based on Charter’s share count as of March 31, 2025, at the closing, Cox Enterprises will own approximately 23% of the combined entity’s fully diluted shares outstanding, on an as-converted, as-exchanged basis, and pro forma for the closing of the Liberty Broadband merger.
Charter expects approximately $500 million of annualized cost synergies achieved within three years of close – stemming from typical procurement and overhead savings.
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Mergers & Acquisitions: TurboNet Technologies’ RDOF Support & Obligations Transferred To United Fiber
April 2, 2025 – The FCC’s Wireline Competition Bureau has granted a Section 214 application filed by TurboNet Technologies, Inc. (TurboNet) and United Fiber, LLC (United Fiber). By granting the application, the Bureau’s has consented to the transfer of TurboNet’s Rural Digital Opportunity Fund (RDOF) support and related buildout and service obligations associated with three census block groups in Lafayette County, Missouri (291070902003, 291070902004, and 291070902005) to United Fiber. There are 72 census blocks and 496 locations in the three transferred census block groups. The total amount of RDOF support being assigned to United Fiber is $700,874.20.
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Mergers & Acquisitions: Private Equity Acquiring Kansas Broadband Provider Ideatek
March 11, 2025 – Last Dance Intermediate III, LLC (Transferee) and IdeaTek Holdings, LLC (Transferor) have filed a Section 214 application requesting FCC consent to transfer indirect control of IdeaTek Telcom, LLC (Licensee) from Transferor to Transferee. Financial details have not been made public, and the application has not yet been put on Public Notice by the Wireline Competition Bureau. The FCC docket for the transaction is WC 25-129.
Last Dance Intermediate III, LLC is a newly formed Delaware limited liability company created for the purpose of completing the Transaction. Last Dance Intermediate III, LLC is indirectly, wholly owned by Last Dance Holdings, L.P. (Last Dance Holdings), an investment fund also created for the purpose of the Transaction. Last Dance Holdings is primarily owned and controlled by funds and entities affiliated with Oak Hill Capital Management (Oak Hill) and Pamlico Capital Management (Pamlico), which are private equity funds based in the United States. The equity in the Oak Hill and Pamlico funds is held through passive limited (and insulated) partnership interests held by numerous, primarily U.S.-based investors, including individuals, trusts, institutions and business entities. Control of these funds ultimately rests in U.S. entities or citizens.
IdeaTek Holdings, LLC is a holding company that is primarily owned by (1) Equity Group of Kansas, LLC (32.52% equity) and (2) funds and entities controlled by Peppertree Capital Management, Inc. (46.08% equity). The Licensee, IdeaTek Telcom, LLC, primarily operates in Kansas, where it is authorized to provide local exchange and interexchange services and is designated as an Eligible Telecommunications Carrier (ETC). It is also authorized to provide local exchange, interexchange, and interconnected VoIP services in Missouri. IdeaTek Telcom, LLC has been authorized by the FCC to receive Connect America Fund Phase II auction support and Rural Digital Opportunity Fund Phase I support.
Pursuant to an Agreement and Plan of Merger, dated as of February 22, 2025, by and among the parties, Transferee will acquire all of the outstanding voting and equity interests in Transferor. As a result of the Transaction, Licensee will become an indirect, wholly owned subsidiary of Transferee. Transferee will remain indirectly, wholly owned by Last Dance Holdings. The parties maintain that the transaction will serve the public interest, and will have no adverse impact on the customers or operations of Licensee.
UPDATE: FCC Grants Last Dance / Ideatek Section 214 Application
May 6, 2025 – The FCC’s Wireline Competition Bureau has granted the Section 214 application filed by Last Dance Intermediate III, LLC (Transferee) and IdeaTek Holdings, LLC (Transferor) which requested consent to transfer indirect control of IdeaTek Telcom, LLC (Licensee) from Transferor to Transferee. When the transaction is ultimately consummated, IdeaTek Telcom will be an indirect, wholly owned subsidiary of Last Dance Intermediate III, LLC.
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Mergers & Acquisitions: Laurel Highland Total Communications Acquiring Pennsylvania Telephone Company
March 3, 2025 – The FCC’s Wireline Competition Bureau is seeking comment on a Section 214 application filed by New Lisbon Holdings, Inc. (NLHI) and Laurel Highland Total Communications, Inc. (LHTC), requesting approval to transfer control of NLHI’s wholly owned subsidiary, Pennsylvania Telephone Company, Inc. (PTC), to LHTC. The Bureau has accepted the Section 214 application for non-streamlined processing because the proposed transaction is more complex than those accepted for streamlined treatment. Comments are due on or before March 17, 2025, and reply comments are due March 24, 2025.
NLHI is an Indiana corporation and holding company. PTC is a Pennsylvania corporation that is wholly owned by NLHI. PTC provides service as a rural incumbent local exchange carrier (ILEC) to approximately 640 access lines in the southern portions of Clinton and Lycoming Counties in south-central Pennsylvania.
LHTC is a Pennsylvania corporation and holding company. LHTC wholly owns Laurel Highland Telephone Company, Yukon-Waltz Telephone Company, South Canaan Telephone Company, and Lackawaxen Telecommunications Services, Inc., each Pennsylvania corporations providing service as rural ILECs to approximately 4,990 access lines in portions of Westmoreland, Fayette, Wayne, and Pike counties, Pennsylvania. Each of LHTC’s wholly owned rural ILECs have been designated as eligible telecommunications Carriers (ETCs) in Pennsylvania. LHTC also wholly owns Laurel Highland Long Distance Company, LHTC Communications, Inc., and South Canaan Services Company, each Pennsylvania corporations providing telecommunications services as competitive carriers.
Pursuant to a January 2025 Stock Purchase Agreement, LHTC will acquire all operations and assets of the PTC from NLHI. Following consummation of the transaction, LHTC, PTC, and NLHI will continue to hold domestic Section 214 authority in their respective serving areas. PTC will continue to exist and operate under its existing corporate structure. The applicants state that granting the application will serve the public interest, convenience, and necessity. The further claim that PTC’s customers will not experience any immediate change to rates, terms, or conditions of service, and in no event will the proposed transaction result in the interruption, reduction, loss, or impairment of service.
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Mergers & Acquisitions: Private Equity Acquiring Socket Telecom (Missouri ETC)
February 4, 2025 – The FCC’s Wireline Competition Bureau is seeking comment on a Section 214 application filed by Socket Holdings Corporation (Socket Holdings) and Last Dance Intermediate II, LLC, requesting consent to transfer indirect control of Socket Telecom, LLC, a wholly owned subsidiary of Socket Holdings, to Last Dance Intermediate II. Comments are due on or before February 18, 2025, and reply comments are due February 25, 2025. Socket Telecom, a Missouri LCC, provides competitive telecommunications services primarily in Missouri, and is wholly owned by Socket Holdings. Socket Telecom is authorized to provide local exchange and interexchange services in Arkansas, Kansas, Missouri, and Oklahoma. Socket Telecom is designated as an Eligible Telecommunications Carrier (ETC) in Missouri and has been authorized to receive $232,768.80 in Rural Digital Opportunity Fund (RDOF) support to serve 393 locations in Missouri. Last Dance Intermediate II is a Delaware LLC that is indirectly and wholly owned by Last Dance Holdings, L.P., a Delaware limited partnership and investment fund. Last Dance Holdings, L.P. is primarily owned and controlled by funds and entities affiliated with Oak Hill Capita Management and Pamlico Capital Management, both of which are U.S.-based private equity funds. Pursuant to a Stock Purchase Agreement, Last Dance Intermediate II will acquire all of the outstanding voting and equity interests in Socket Holdings. As a result, Socket Telecom will become an indirect, wholly owned subsidiary of Last Dance Intermediate II.
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Mergers & Acquisitions: Aristotle Unified Communications Transferring Missouri CAF Phase II Locations To Wisper ISP
October 1, 2024 – The FCC’s Wireline Competition Bureau is seeking public comment on a Section 214 transfer of control application filed by Aristotle Unified Communications Inc. (Aristotle) and Wisper ISP, LLC (Wisper), requesting consent to assign Aristotle’s domestic section 214 authorization for its State of Missouri Connect America Fund (CAF) Phase II auction locations (Assigned Census Blocks) to Wisper. Following consummation, Wisper will assume the deployment, performance, and other obligations for the Assigned Census Blocks. Comments are due on or before October 4, 2024. Reply comments are due October 11, 2024.
Aristotle is an Arkansas corporation that provides voice and broadband service in rural communities using fixed wireless and fiber. Aristotle has been authorized to receive $3,001,544.70 in CAF Phase II support for the Assigned Census Blocks in Missouri to deploy voice and 25/3 Mbps broadband service to 788 locations.
Wisper is a Delaware limited liability company that provides fixed wireless or fiber-based broadband and voice services to approximately 20,000 residential and business subscribers in Arkansas, Illinois, Indiana, Kansas, Missouri, and Oklahoma. Wisper has been designated an Eligible Telecommunications Carrier to receive CAF Phase II support of approximately $220 million to serve 80,149 locations in Arkansas, Illinois, Indiana, Kansas, Missouri, and Oklahoma
Pursuant to an Assignment and Assumption Agreement, Wisper will acquire the Assigned Census Blocks, assets Aristotle has acquired with CAF support, unexpended CAF support, and the right to receive future CAF support. And, Wisper will assume the deployment and performance obligations and any compliance gap consequences associated therewith.
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Mergers & Acquisitions: Four States Fiber To Transfer RDOF Support To South Central Connect
June 7, 2024 – The FCC’s Wireline Competition Bureau is seeking public on a Section 214 application filed by Southwest Arkansas Telecommunications and Technology, Inc. d/b/a Four States Fiber (SATT) and South Central Connect, LLC, requesting consent for the transfer of certain SATT Rural Digital Opportunity Fund (RDOF) support in Arkansas to South Central Connect. Comments are due on or before June 21, 2024, and reply comments are due June 28, 2024.
SATT is an Arkansas corporation that provides interconnected VoIP-based voice and broadband services in portions of Arkansas, Oklahoma, and Texas. SATT has been authorized to receive RDOF support in Arkansas, Louisiana, and Oklahoma. The Section 214 application requests authority to transfer SATT’s RDOF support for Census Block Group No. 050979532003 to South Central Connect.
South Central Connect provides voice and broadband services in south central Arkansas, and is a wholly-owned subsidiary of South Central Arkansas Electric Cooperative, Inc. South Central Connect is authorized to receive RDOF funding in Arkansas, and it also receives Connect America Fund Phase II funding in Arkansas.
Pursuant to an Asset Purchase Agreement and Plan of Merger, SATT will transfer the RDOF obligations and all related past and future RDOF funding associated with the Assigned CBG to South Central Connect, along with all related buildout and service obligations. The Wireline Competition Bureau has accepted the application for non-streamlined processing in order to sufficiently analyze whether the proposed transaction would serve the public interest.
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Mergers & Acquisitions: Private Equity Firm Searchlight Capital Partners Acquiring Consolidated Communications
May 7, 2024 – The FCC’s Wireline Competition Bureau is seeking comment on a Section 214 application filed by Consolidated Communications Holdings, Inc. (Consolidated) and Condor Holdings LLC (Condor), requesting approval for the transfer of control of Consolidated to Condor. Comments are due on or before May 21, 2024. Reply comments are due May 28, 2024. Consolidated, a Delaware corporation, through its subsidiaries, provides service as an incumbent local exchange carrier (LEC) or competitive LEC in certain areas of Alabama, California, Colorado, Florida, Georgia, Illinois, Iowa, Kansas, Maine, Massachusetts, Minnesota, Missouri, New Hampshire, New York, North Dakota, Ohio, Oklahoma, Pennsylvania, South Dakota, Texas, Vermont, and Wisconsin. Many of the subsidiaries are authorized as Eligible Telecommunications Carriers (ETCs), and some have been awarded Rural Digital Opportunity Fund Phase I Auction (RDOF) funding for a total of 246 census block groups across seven states: Florida, Illinois, Maine, Minnesota, New Hampshire, Texas, and Vermont.
Condor, a Delaware limited liability holding company, was formed for the purposes of the proposed transaction and is a wholly-owned subsidiary of Searchlight III CVL, L.P. In close proximity to the close of the proposed transaction, Searchlight III CVL, L.P. will be converted into a limited liability company.
Upon completion of the transaction, Condor will thus become the direct parent of Consolidated and the indirect parent of Consolidated’s subsidiaries, and Consolidated, which is currently a publicly traded company (NASDAQ: CNSL), will become privately held.
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Mergers & Acquisitions: LightStream Acquiring Monon Telephone Company In Indiana
December 1, 2023 – LightStream has announced that it has entered into an agreement to purchase Monon Telephone Company, Inc. LightStream, formerly known as Pulaski White Rural Telephone Cooperative, is a cooperative-based communications services provider headquartered in Buffalo, Indiana. The company “provides fiber-based gigabit internet and telecommunications services in the greater Buffalo, Monticello, Pulaski, Royal Center, Star City, and Winamac areas.” Monon Telephone Company was founded in the town of Monon, Indiana in August of 1900, and has been family owned since 1921. The transaction is subject to regulatory approvals, but is expected to close in the first half of 2024. The purchase price and other terms of the deal were not disclosed.
