Tuesday, September 21, 2010

CenturyLink and Qwest Receive Merger Approvals

CenturyLink and Qwest Communications have received approval of their pending merger from nine states, as well as antitrust clearance from the Department of Justice and the Federal Trade Commission. The companies still require approval from 12 additional states, as well as the Federal Communications Commission, and expect the deal to close during the first half of 2011. Their shareholders have already approved the merger.

  • In July 2009, CenturyTel merged with EMBARQ, the former wireline division of Sprint.. EMBARQ, which was formerly Sprint's Local Telecommunications Division (spun out as an independent company in 2006). At the time this deal was announced, the transaction reflected an enterprise value of approximately $11.6 billion for Embarq, including the assumption of $5.8 billion of EMBARQ's debt. And at the time, Embarq had 5.8 million local phone lines and 1.4 million DSL customers.