Opportunistic and Inadequate Offer for WOW
WOW’s controlling shareholders are attempting to buyout all minority shareholders. Their $4.80 per share bid deeply undervalues WOW’s legacy assets and assigns a NEGATIVE value to its brand new crown jewel fiber assets.
WOW’s Special Committee has a fiduciary obligation to conduct a comprehensive and conflict-free process that canvasses many non-conflicted potential buyers, seeking to maximize long-term value for all shareholders. Minority shareholders should not be compelled to accept any offer unless a majority of the minority approves the deal.
The $4.80 per share bid proposes to pay WOW minority outside shareholders the lowest multiple in modern cable and fiber company transaction history. Further, it does so on trailing cash flow that is weighed down by a large investment in brand-new and immature fiber assets. On a standalone basis, these fiber assets could be worth an additional $5.00 per share.
Click “Learn More” to read LB Partners’ letter to the Special Committee of WOW.