Uniti Group Inc. entered into an agreement to acquire fiber network from Bluebird Network, LLC for approximately $320 million.
January 15, 2019
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Uniti Group Inc. (NasdaqGS:UNIT) entered into an agreement to acquire fiber network from Bluebird Network, LLC for approximately $320 million on January 15, 2019. Uniti is acquiring the fiber network of Bluebird for $319 million, of which $175 million will be funded by Uniti in cash and $144 million from pre-paid rent to be received from Macquarie Infrastructure Partners at closing. In a related deal, Macquarie Infrastructure Partners has agreed to purchase Bluebird Network, LLC and Uniti Group Inc. has agreed to sell Uniti Fiber's Midwest operations to Macquarie Infrastructure Partners. Uniti will lease the Bluebird fiber network and Midwest fiber network, on a combined basis, to Macquarie Infrastructure Partners under a long-term triple net lease. Barclays provided committed financing to Uniti in connection with the transaction. As of June 24, 2019, Uniti Group financed its acquisition from $300 million of exchangeable senior notes.
The transaction is subject to regulatory and other customary closing conditions. As of February 22, 2019, the transaction received approval from the FTC. The transaction is expected to close by the end of the third quarter of 2019. Wells Fargo Securities, LLC acted as exclusive financial advisor to Uniti. MVP Capital Advisors acted as financial advisor to Bluebird. Davis Polk & Wardwell LLP acted as legal advisor for Uniti Group on the debt financing of the acquisition.
Uniti Group Inc. is an independent, internally managed real estate investment trust (REIT), which is engaged in the acquisition, construction, and leasing of mission critical infrastructure in the communications industry. The Company is principally focused on acquiring and constructing fiber optic, copper and coaxial broadband networks and data centers. The Companyâs lines of business include Uniti Leasing and Uniti Fiber. The Uniti Leasing is engaged in acquiring and constructing mission-critical communications assets, such as fiber, data centers, next generation consumer broadband, coaxial and upgradeable copper, and leasing them back to anchor customers on either an exclusive or shared-tenant basis. The Uniti Fiber is a provider of infrastructure solutions, including cell site backhaul and small cell for wireless operators and ethernet, wavelengths and dark fiber for telecommunications carriers and enterprises. The Company owns approximately 1,40,000 fiber network route miles.
UNITI GROUP INC. 
