WideOpenWest Stock Surges 47% After Announcing $1.5 Billion Acquisition by DigitalBridge and Crestview
ENGLEWOOD, CO – Shares of WideOpenWest Inc. (NYSE: WOW) skyrocketed Tuesday, surging 47.6% after the broadband provider announced it will be acquired by investment funds DigitalBridge Investments and Crestview Partners in an all-cash deal valued at approximately $1.5 billion.
The definitive agreement marks a significant new chapter for the company and a major win for its shareholders. Under the terms of the deal, WOW! stockholders will receive $5.20 per share in cash. This price represents a substantial 37.2% premium over the stock’s price on May 2, 2024, before the initial offer was made, and a 63% premium over a recent closing price, delivering significant value to investors.
Crestview Partners, which is already WOW!’s largest stockholder with a 37% stake, demonstrated strong confidence in the company’s future by agreeing to roll over all of its shares as part of the transaction.
The acquisition provides WOW! with a powerful strategic path forward, allowing it to go private and focus on long-term growth initiatives. The move comes after the company reported challenging second-quarter results, including a 9.2% year-over-year decline in total revenue. However, the company’s core high-speed data revenue remained stable at $104.8 million, highlighting the underlying strength of its primary business.
Teresa Elder, CEO of WOW!, expressed optimism about the partnership. “Today’s announcement is an exciting step for WOW!’s investors, employees and customers,” she said. “WOW!’s next chapter with DigitalBridge and Crestview will bring new and exciting opportunities to our stakeholders and enhance our position as a trusted provider of fast, reliable and affordable broadband solutions.”
The acquisition is expected to fuel WOW!’s ongoing fiber expansion strategy. The company has already been making significant progress in this area, having passed an additional 15,500 homes in its Greenfield markets during the second quarter alone.
The transaction, which was unanimously approved by WOW!’s Board of Directors following a recommendation from a special committee, is expected to close by the end of 2025 or in the first quarter of 2026. Upon completion, WOW! will become a private company, and its shares will no longer be traded on public exchanges.
