Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Goodman Networks, Multiband To Merge In $116 Mln Cash Deal - Quick Facts

Goodman Networks Inc., a privately held leader in the design, engineering, deployment, integration and maintenance of wireless telecommunication networks, and Multiband Corp. (MBND: Quote) announced that they have signed a definitive merger agreement, buy which Goodman Networks will acquire Multiband.

As per the terms of the agreement, Goodman Networks will pay $3.25 per Multiband common share, redeem all of Multiband's outstanding preferred stock and repay Multiband's outstanding bank indebtedness in an all cash transaction totaling approximately $116 million. This represents a premium of approximately 26.0% over the closing price of Multiband's common stock on May 21, 2013.

The agreement was approved by the unanimous vote of each of Goodman Networks' and Multiband's directors.

The transaction is subject to the approval of Multiband's shareholders, regulatory approvals and other customary closing conditions. There is no financing condition associated with the proposed acquisition. The transaction is expected to close in the third quarter of 2013.

Upon the close of the acquisition, Multiband will be operated as a wholly-owned subsidiary of Goodman Networks and continue under Jim Mandel's leadership in the role of Chief Executive Officer of Multiband.

As per the terms of the agreement, for a period of 45 calendar days, Multiband may solicit alternative proposals from third parties. If Multiband proceeds with a superior proposal, it would be required to pay Goodman Networks a breakup fee of $5 million to $6 million, depending on timing.

Register
To receive FREE breaking news email alerts for MULTIBAND CORP and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Stocks moved notably higher over the course of the trading day on Friday after initially showing a lack of direction. The gains on the day extended the recent upward trend by the markets, with the tech-heavy Nasdaq reaching its best closing level in almost a month. Looking to capitalize on news of an Ebola diagnosis in New York City, Republican Senate candidate Scott Brown issued a statement Friday criticizing his Democratic opponent Sen. Jeanne Shaheen, D-N.H., for "waffling" on a travel ban. In another troubling sign for Democrats, the results of a Gallup poll released on Friday show that Tea Party Republicans are much more motivated to vote in the upcoming midterm elections than other Americans. The poll found that 73 percent of Tea Party Republicans are "extremely" or "very" motivated to vote in this year's elections.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.