Shenandoah Telecommunications Company to Sell its Towers for $310 Million
EDINBURG, Va., March 01, 2024 (GLOBE NEWSWIRE) — Shenandoah Telecommunications Company (“Shentel” or the “Company”) (Nasdaq:SHEN) announced that it has entered into a Purchase and Sale Agreement with Vertical Bridge Holdco, LLC (“Vertical Bridge”) to sell its tower portfolio and operations (“Tower Portfolio”) to Vertical Bridge for $310.3 million in cash (the “Transaction”). The Transaction is subject to customary closing conditions. Vertical Bridge will pay Shentel the $310.3 million purchase price on the date of the initial closing. Subsequent closings will occur as closing conditions are met for any remaining sites. The Company expects an initial closing in March 2024. The Company expects to pay up to $10 million in 2024 income taxes as a result of the gain on the sale after utilization of net operating loss carryforwards. The Shentel Tower Portfolio being sold consists of 226 tower portfolio sites1 and generated $18.6 million in revenue, $9.5 million of operating income and $11.6 million of Adjusted EBITDA2 in 2023. Please refer to the Company’s Form 8-K filed with the Securities and Exchange Commission (“SEC”) for additional details on the Transaction.