In continued consolidation in the telecom sector, long haul carrier Level 3 is expected to announce today that it is buying Canonsburg, PA-based data transmission provider TelCove for $1 billion, according to this scoop by the Wall Street Journal. The deal calls for a payment by Level 3 of $445 million in cash, $637 million in stock plus the assumption of $156 million in debt.
The TelCove buy is the latest in a string of acquisitions for Level 3 — the company earlier snatched up WilTel Communications Group, Progress Telecom and ICG Communications. TelCove started life as Adelphia Business Solutions, an arm of formerly scandal-ridden and now bankrupt cable company Adelphia Communications.
Cynthia Brumfield at 6:47 AM|Comments(0)
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