MSP Bidding War: Alaska Communications Secret Buyer Revealed

• November 2020: Macquarie Capital and GCM Grosvenor. announced plans to acquire Alaska Communications for $300 million. But that preliminary deal included a go-shop period -- which allowed Alaska Communications to seek alternative bids for the MSP and telecom service provider.
• December 15, 2020: A higher bid of $325 million surfaced.
• December 24, 2020: An even higher bid valued at $332 million for Alaska Communications surfaced. At the time, the rival bidder's name had not been disclosed. Original bidders Macquarie Capital and GCM had until December 27, 2020, to either match or beat that rival bid.
• January 4, 2021: Alaska Communications said the $332 million mystery bid came from ATN International ($ATNI) and financial partner Freedom 3 Capital.

“This investment and merger allows us to enter a new market with many similar characteristics to our existing operations in the U.S. and elsewhere. Further, it aligns with our strategy to leverage the broad capabilities of our operating platform to enhance and augment leading providers of facilities-based communications services in distinctive markets. ATN has a long history of enabling its subsidiaries to gain and maintain strong market positions by investing in high quality infrastructure, the latest technologies and creative solutions to give customers a superior experience. We recognize the same determination and customer-centric approach in the Alaska Communications team. Our industry is rapidly changing, and communications requirements have never been more essential and critical than they are today. We look forward to combining our resources and experience with Alaska Communications’ market knowledge and reputation for superior service to provide industry-leading communications products and services to customers in Alaska and beyond.”

"This transaction represents an exciting opportunity to augment our market position, as well as expand our capabilities to better serve our customers. ATN has extensive telecommunications expertise, a strong track record of successfully investing in and operating capital-intensive businesses and has a strong financial position highlighted by its net cash position. These are critical attributes that will support our strategy to deliver superior customer service utilizing our fiber-based network solutions. We firmly believe this transaction will allow us to enhance our expanded fiber network services and drive long-term value for our employees and customers in Alaska."

“We are excited to partner with ATN to support the long-term growth of Alaska Communications.  We believe ATN’s leadership and operational support in partnership with the Alaska Communications management team accelerates growth for the company. Freedom 3 has known the business and management team since 2002.”

“The communications infrastructure space is a rapidly growing sector where Freedom 3 has deep expertise.  We look forward to leveraging that expertise in support of Alaska Communications.”