CNSL - Why Consolidated Communications Stock Jumped Today
2023-10-16 13:43:17 ET
Shares of Consolidated Communications (NASDAQ: CNSL) were up 15% as of 12:10 a.m. ET on Monday after the company agreed to be taken private in an all-cash transaction valued at $4.70 per share.
The stock rose sharply this year after Searchlight Capital Partners and British Columbia Management Corporation initially sent Consolidated a buyout proposal in April. After a sharp fall from its previous high, the stock is currently up 15% year to date, but still offers upside between now and the completion of the acquisition .
Searchlight already held about 34% of the company's stock, but the full ownership of the business will provide a financial cushion to help Consolidated complete its fiber build-out plan, which has yielded good results so far. Over the last year, the company has roughly doubled the number of fiber subscribers.
For further details see:
Why Consolidated Communications Stock Jumped Today