Wednesday, September 28, 2011

Level 3 + Global Crossing Merger Gains FCC & DOJ Approvals

The U.S. Department of Justice has cleared Level 3's previously announced acquisition of Global Crossing. The FCC issued its own order approving the transaction, effective immediately. Level 3 expects to close the transaction as early as next week.http:/

  • On April 11, 2011, Level 3 Communications first announced its plans to acquire Global Crossing in a stock-for-stock transaction valued at approximately $3.0 billion. The combined company will operate fiber optic networks on three continents, connected by extensive undersea facilities. The combined network will serve a worldwide customer set with owned network in more than 50 countries and connections to more than 70 countries. The combined Level 3 + Global Crossing had pro forma combined 2010 revenues of $6.26 billion and pro forma combined 2010 Adjusted EBITDA of $1.27 billion before synergies and $1.57 billion after expected synergies. The customer profiles includes enterprise, government, wholesale, content, and web-based companies.