Summary
Crown Castle International Corp. (CCI) is filing this Form 8-K to disclose an event related to its significant investment in FiberTower Corporation. On May 15, 2006, FiberTower announced a definitive merger agreement with First Avenue Networks Inc. in an all-stock transaction valued at approximately $1.5 billion. CCI's subsidiary is the largest shareholder in FiberTower, holding a 33.8% equity interest on a fully diluted basis prior to the merger. Following the anticipated completion of the FiberTower/First Avenue merger, expected by the end of Q3 2006, CCI's subsidiary is projected to hold an approximately 17% equity interest in the combined entity. This filing primarily serves to furnish the press release announcing this strategic combination, which will impact CCI's proportionate ownership in a significant telecommunications infrastructure player.
Key Highlights
- 1Crown Castle International Corp. (CCI) is disclosing information regarding FiberTower Corporation, in which it holds a substantial ownership stake.
- 2FiberTower Corporation and First Avenue Networks Inc. have entered into a definitive merger agreement.
- 3The merger is an all-stock transaction valued at approximately $1.5 billion.
- 4CCI's subsidiary is the largest shareholder of FiberTower, holding a 33.8% equity interest on a fully diluted basis before the merger.
- 5Post-merger, CCI's subsidiary is expected to hold an approximately 17% equity interest in the combined FiberTower/First Avenue entity.
- 6The merger is anticipated to close by the end of the third quarter of 2006.