Shares of Internet service provider Splitrock Services Inc. jumped nearly 22 percent today on news it will be acquired by phone company McLeodUSA Inc for about $1.8 billion.
Published:
10 January 2000 y., Monday
McLeodUSA is a competitive local-exchange carrier based in Cedar Rapids, Iowa, going after Baby Bell customers. It provides phone directories, local and long-distance service, data, voice mail, paging and Internet access in 21 Midwestern and Rocky Mountain states.
The Woodlands-based Splitrock provides Internet access and Web hosting to phone companies, Internet service providers and businesses. In the nine months ending Sept. 30, the company had a net loss of $77.4 million on revenue of $57.9 million.
McLeodUSA president Stephen C. Gray said the transaction will accelerate by 18 to 36 months the company's plans to deliver an array of data. The acquisition also would give McLeodUSA access to a new long-distance network being built by Level 3 Communications Inc., of Omaha, Neb.
Under the terms of the deal, Splitrock shareholders will receive 0.5347 share of newly issued McLeodUSA common stock for each Splitrock share. The deal also includes assumption of about $350 million in debt.
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The World Bank is seeing a surge in demand from borrowers seeking the Bank’s expertise to mitigate currency and interest rate risk.
more »
The European Commission has approved under EU state aid rules a Lithuanian package intended to stabilise the markets as a response to the global financial crisis.
more »
Total cereal production in 2010 should be close to the average from the last five years. While the yield per hectare will be 5% above average, overall cultivated areas have decreased.
more »
According to the unaudited data, AB Bank SNORAS profit prior to provisions and tax exemption within the first half of this year comprised LTL 51 million, the bank formed almost LTL 48 million provisions.
more »
The European Commission today approved two applications from Denmark for assistance from the EU Globalisation Adjustment Fund (EGF).
more »
The European Investment Bank today signed two loans for a total amount of EUR 150 million in support of small and medium-sized enterprises (SMEs) in Turkey.
more »
On 23 July 2010 the Board of the Bank of Lithuania permitted Bank SNORAS to register a change to the articles of association related to the increase of the authorized capital of the bank by LTL 82.3 million up to LTL 494,217,107.
more »
Heads of State and top officials from the Central American Integration System and World Bank Group President, Robert B. Zoellick, agreed to join efforts towards regional cooperation and integration and adopted a comprehensive agenda that includes an action plan with more than 20 specific measures.
more »
The Executive Board of the International Monetary Fund (IMF) today approved the full cancellation of Haiti’s outstanding liabilities to the Fund, of about SDR 178 million (equivalent to US$268 million).
more »
The Executive Board of the International Monetary Fund (IMF) today completed the third review of Latvia's performance under an economic program supported by a Stand-By Arrangement (SBA).
more »