A Verizon telecommunications truck is parked on a street in Washington, DC June 11, 2019.
Eva Hambach | AFP | Getty Images
Verizon said on Thursday it would acquire Frontier Communications in a deal valued at $20 billion, as the U.S. wireless carrier looks to boost its fiber network.
Shares of Frontier Communications fell more than 7% in premarket trading. Verizon climbed about 1%.
Verizon has offered $38.50 per Frontier share held, a premium of 37.3% to Frontier’s closing price on Sept. 3, before reports of a potential acquisition emerged.
The deal is expected to generate at least $500 million in annual run-rate cost synergies.
This story is developing. Please check back for updates.
