Level 3 to Acquire Global Crossing for Almost 3 Billion Dollars
Yesterday (on April 11, 2011), Level 3 Communications, the global fiber-based solutions provider and Global Crossing, one of the leading IP, Ethernet, data center and video solutions provider, announced that they had entered a definitive agreement of Level 3 Acquiring the Global Crossing Entity. Financially, this will be a tax-free stock-for-stock transaction.
The combination will result in many significant synergy options and result in a much more financially stable joint entity. The strong network of Global Crossing in Asia will join with the Tier-1 fiber optic lines of Level 3 resulting in the joint Company’s having a much wider and better coverage around the globe. Since these Companies have various strategic complementary strengths, the acquisition is expected to result in much better profitability for both the customers and the stock owners.
As per the current deal, each of the Global Crossing share will be replaced with 16 shares of Level 3 Communications. Based on Friday’s closing price of $23.04, the deal is valued at almost 3 billion dollars, and resulting in a Company with combined 2010 revenues of 6.26 billion dollars.
Tags: acquisitions, internet news, level 3
Created at 12.04.2011 in Uncategorized | Permalink
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08.06.2011 um 21:12:48 Uhr
[...] this, one of the main things that Stortz has to sort out are the legal tangles involved with the Level’s acquisition of Global Crossing. In his new role, the senior executives who work for legal, HR and corporate communications groups [...]
24.06.2011 um 08:25:21 Uhr
[...] Apple’s iCloud initiative. At its end, Level 3 has also reached out to more than 145 markets, and Level 3’s recent acquisition of Global Crossing Ltd. for $3 billion also allows the Company to expand its portfolio with various cloud computing [...]
09.08.2011 um 08:47:48 Uhr
[...] Last Thursday (on August 4, 2011), Level 3 Communication, the leading international provider of fiber-based solutions and Global Crossing, the leading provider of global IP, Ethernet, Data Center and video streaming solutions, announced that their respective stock holders had approved the bid of Level 3 to acquire Global Crossing. [...]
02.10.2011 um 07:44:58 Uhr
[...] the U.S. Department of Justice had cleared its acquisition of the Global Crossing Inc. Level 3 had announced its plans for acquiring Global Crossing in April this year. The clearance of the Justice Department [...]
09.04.2012 um 07:09:18 Uhr
[...] and Senior Executive VP of ST Telemedia as part of his previous stints. He joined the Company when Level 3 acquired Global Crossing last year. On the other hand, General Chinton joined the board after his retirement from the Air [...]