Business

AT&T expects to close on Midwest wireless acquisition in 3Q

Posted July 07, 2009 11:00 pm

Associated Press

DALLAS -- AT&T Inc. said Wednesday that it expects to close on its $944 million acquisition of wireless and broadband service provider Centennial Communications Corp. during the third quarter.

Locally, the company has operations in Hoffman Estates, Northbrook, Rolling Meadows, Warrenville and Chicago.

The transaction, which was initially announced in November and expected to close in the second quarter, will help AT&T expand its wireless coverage in areas of the Midwest and Southeast as well as Puerto Rico and the U.S. Virgin Islands. Wall, N.J.-based Centennial has about 1.1 million wireless customers.

The deal gives Centennial stockholders $8.50 per share, a 3 percent premium to its Tuesday closing stock price of $8.24. Including debt, AT&T previously valued the deal at $2.8 billion.

Centennial's shareholders approved the acquisition in February, but the transaction still needs approval from the Department of Justice and the Federal Communications Commission.

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