Level 3 to Buy TW Telecom for About $5.6 Billion

Level 3 Communications Inc. said Monday that it has agreed to buy TW Telecom in a deal worth about $5.6 billion.

The Internet and telecommunications company says the acquisition will increase its local operations. Level 3, which is based in Broomfield, Colorado, owns network and data centers around the world. Littleton, Colorado-based TW Telecom provides data and Internet and other services to businesses in the United States.

Level 3 will pay $40.86 for each outstanding share of TW Telecom. As of April 30, TW Telecom had 137.9 million outstanding shares. Level 3 said the total deal will be worth $7.3 billion, which includes the amount of debt it will take on from TW Telecom. Read more...