Suddenlink Agrees to $6.6B BuyoutSuddenlink Agrees to $6.6B Buyout

BC Partners, CPP Investment Board and management agree to acquire Suddenlink for $6.6B

July 19, 2012

1 Min Read

ST. LOUIS -- Cequel Communications Holdings, LLC, which does business as Suddenlink Communications ("Suddenlink" or "the Company"), announced today that it and its existing equity holders have reached an agreement under which BC Partners and CPP Investment Board ("CPPIB") will partner with Suddenlink's management team, led by Chairman and CEO Jerry Kent, to purchase the Company for $6.6 billion.

Suddenlink's enterprise value of $6.6 billion -- a multiple of approximately 8.6 times the Company's first quarter 2012 annualized EBITDA before non-recurring expenses -- includes $1.985 billion of total equity to be invested by BC Partners, CPPIB, and certain members of Suddenlink management, plus incremental debt of $500 million and assumption of existing net liabilities of $4.094 billion as of March 31, 2012. Proceeds will be used to acquire the ownership stake of all holders of Suddenlink's preferred and common equity, led by Goldman Sachs Capital Partners and including Quadrangle and Oaktree Capital Management. The transactions are expected to close in the fourth quarter of this year, subject to customary closing conditions, including receipt of required regulatory approvals.

Suddenlink Communications

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