Alaska Communications Systems Group Inc. announced it has entered into a definitive agreement to be acquired by a new entity owned by ATN International Inc. and Freedom 3 Capital LLC. The all-cash agreement is estimated to be worth $332 million, including net debt.
The merger will result in Alaska Communications becoming a consolidated, majority-owned subsidiary of ATN and is expected to close in the second half of 2021. Alaska Communications’ prior agreement to be acquired by an affiliate of Macquarie Capital and GCM Grosvenor, through its Labor Impact Fund, L.P., has been terminated.
Under the terms of the agreement, an affiliate of ATN will acquire all the outstanding shares of Alaska Communications common stock for $3.40 per share in cash. This represents a premium of approximately 78 percent over the closing per share price of $1.91 on November 2, 2020, the last trading day prior to the date when Alaska Communications’ original merger agreement with Macquarie and GCM was executed.
The merger is subject to the approval of Alaska Communications’ stockholders, regulatory approvals and other customary closing conditions.