Consolidated Communications acquired by Searchlight and BCI for $4.70 per share

Consolidated Communications Holdings announced that it has entered into a definitive agreement to be acquired by affiliates of Searchlight Capital Partners and British Columbia Investment Management Corporation “BCI” in an all-cash transaction with an enterprise value of approximately $3.1B, including the assumption of debt…Under the terms of the Agreement, Searchlight and BCI will acquire all of the Consolidated common stock not already owned by Searchlight for $4.70 per share in cash. The purchase price represents a premium of approximately 70% to the closing price of the Company’s common stock through April 12 the last trading day prior to the submission of Searchlight and BCI’s initial non-binding proposal to the Company’s Board of Directors and a premium of approximately 33% to the closing price of the Company’s common stock as of October 13. The transaction implies a 9.6x multiple on the Company’s LTM EBITDA, pro forma for the previously disclosed sales of certain non-core operations, including the expected sale of Washington assets, as of June 30, . The proposed transaction has been unanimously approved by a special committee of independent and disinterested directors of the Board advised by independent legal and financial advisors, formed to evaluate and consider the proposal and other potential strategic alternatives. The Board of Directors of the Company, following recusals of directors affiliated with Searchlight and BCI, has approved the proposed transaction on the unanimous recommendation of the Special Committee.