Verizon Communications has entered into a definitive agreement to acquire Frontier Communications in an all-cash transaction valued at $20 billion, offering $38.50 per share. The deal represents a 43.7% premium to Frontier's 90-day volume-weighted average share price. The strategic acquisition will add 2.2 million fiber subscribers and extend Verizon's network reach to 25 million premises across 31 states and Washington, D.C.The combination will integrate Frontier's fiber network into Verizon's portfolio, significantly expanding its Fios offering. Frontier has invested $4.1 billion in upgrading its network over four years and plans to build out an additional 2.8 million fiber locations by 2026. The transaction is expected to be accretive to Verizon's revenue and Adjusted EBITDA growth upon closing, with projected annual run-rate cost synergies of at least $500 million by year three.The transaction, unanimously approved by both companies' boards, is expected to close in approximately 18 months, subject to Frontier shareholder approval and regulatory clearances. Verizon has reaffirmed its full-year 2024 guidance, including wireless service revenue growth of 2.0-3.5% and Adjusted EBITDA growth of 1.0-3.0%.

Verizon Communications has entered into a definitive agreement to acquire Frontier Communications in an all-cash transaction valued at $20 billion, offering $38.50 per share. The deal represents a 43.7% premium to Frontier's 90-day volume-weighted average share price. The strategic acquisition will add 2.2 million fiber subscribers and extend Verizon's network reach to 25 million premises across 31 states and Washington, D.C.The combination will integrate Frontier's fiber network into Verizon's portfolio, significantly expanding its Fios offering. Frontier has invested $4.1 billion in upgrading its network over four years and plans to build out an additional 2.8 million fiber locations by 2026. The transaction is expected to be accretive to Verizon's revenue and Adjusted EBITDA growth upon closing, with projected annual run-rate cost synergies of at least $500 million by year three.The transaction, unanimously approved by both companies' boards, is expected to close in approximately 18 months, subject to Frontier shareholder approval and regulatory clearances. Verizon has reaffirmed its full-year 2024 guidance, including wireless service revenue growth of 2.0-3.5% and Adjusted EBITDA growth of 1.0-3.0%.