Verizon To Acquire Frontier In $20B Deal, Reaffirms FY24 Outlook
Verizon To Acquire Frontier In $20B Deal, Reaffirms FY24 Outlook
Frontier Communications Parent, Inc. (NASDAQ:FYBR) shares are trading lower after the company inked an acquisition deal with Verizon Communications Inc. (NYSE:VZ).
Frontier Communications Parent, Inc. (NASDAQ:FYBR)的股價下跌，因該公司與Verizon Communications Inc. (NYSE:VZ)達成收購協議。
As per the terms, Verizon will acquire Frontier in an all-cash deal valued at $20 billion.
根據協議，Verizon將以全現金方式收購Frontier，交易價值200億美元。
In particular, Verizon will acquire Frontier for $38.50 per share in cash, a 43.7% premium over Frontier's 90-day volume-weighted average share price (VWAP) as of September 3, 2024.
具體而言，Verizon將以每股38.50美元的現金收購Frontier，這是較2024年9月3日爲止的Frontier 90日加權平均股價(VWAP)的43.7%溢價。
Also Read: Verizon Secures $4M Federal Contract, Touts New Security Infrastructure
此外，還有消息稱Verizon贏得了一份400萬美元的聯邦合同，並引領了新的安全基礎設施。
The acquisition will integrate Frontier's advanced fiber network with Verizon's extensive fiber and wireless assets, including Fios. Frontier's 2.2 million fiber subscribers and 7.2 million fiber locations will join Verizon's 7.4 million Fios connections.
此次收購將使Frontier的先進光纖網絡與Verizon的廣泛光纖和無線資產相結合，包括Fios。Frontier的220萬光纖訂閱用戶和720萬光纖位置將與Verizon的740萬Fios連接一起。
This strategic buyout, involving the largest pure-play fiber internet provider in the U.S., will significantly enhance Verizon's fiber footprint nationwide, boost its delivery of premium mobility and broadband services, and expand its intelligent edge network for digital innovations like AI and IoT.
這次戰略性收購涉及美國最大的純光纖互聯網服務提供商，將極大地增強Verizon在全國範圍內的光纖覆蓋，並提供高級移動和寬帶服務，擴展其用於人工智能和物聯網等數字創新的智能邊緣網絡。
Frontier has invested $4.1 billion in its fiber network over the past four years and plans to expand by an additional 2.8 million fiber locations by 2026.
Frontier在過去四年中對其光纖網絡投資了41億美元，並計劃到2026年再擴大280萬光纖位置。
The transaction has received unanimous approval from the Boards of Directors of both Verizon and Frontier.
該交易已得到Verizon和Frontier董事會的一致批准。
The deal is expected to close in about 18 months, pending approval by Frontier shareholders, regulatory approvals, and other customary closing conditions.
該交易預計將在約18個月內完成，待Frontier股東批准、監管批准和其他常規閉市條件的批准。
Synergies: The transaction is expected to boost Verizon's revenue and Adjusted EBITDA growth rates upon closing.
協同效應：該交易預計將增加Verizon的營業收入和調整後的息稅折舊攤銷前利潤（Adjusted EBITDA）增長率。
Verizon anticipates achieving at least $500 million in annual cost synergies through increased scale, distribution, and network integration by year three.
Verizon預計通過增加規模、分銷和網絡整合，到第三年實現至少5億美元的年度成本協同效應。
Outlook: Verizon reaffirmed FY24 guidance for wireless service revenue growth of 2.0% to 3.5%, adjusted EBITDA growth of 1.0% to 3.0%, and adjusted EPS of $4.50 to $4.70 (vs. cons. of $4.57).
展望：Verizon重申了截至2024財年無線服務收入增長率爲2.0%至3.5%、調整後的息稅折舊攤銷前利潤（Adjusted EBITDA）增長率爲1.0%至3.0%和調整後每股收益爲4.50美元至4.70美元（相對於市場預期的4.57美元）。
The company reiterated the capital expenditures of $17.0 billion-$17.5 billion in FY24.
該公司重申了截至2024財年的資本支出爲17至17.5億美元。
Investors can gain exposure to the stock via Invesco S&P 500 Equal Weight Communication Services ETF (NYSE:RSPC) and SPDR S&P Telecom ETF (NYSE:XTL).
投資者可以通過Invesco S&P 500等權通信服務ETF（NYSE: RSPC）和SPDR S&P電信ETF（NYSE: XTL）獲得股票曝光。
Price Action: FYBR shares are down 9.72% at $34.92 premarket at the last check Thursday. VZ shares are up 1.21% to $41.98.
股價行情：FYBR股價在週四最後一次檢查時預盤下跌9.72%至34.92美元，而VZ股價上漲1.21%至41.98美元。
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