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CS&L Buying Tower Cloud

Tower Cloud agreed to an acquisition by Communications Sales and Leasing, CS&L said in a news release Monday. The $230 million cash-and-stock deal is subject to regulatory approvals and customary closing conditions, and is expected to close by early Q4,…

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it said. The deal expands CS&L’s backhaul network and entry into small-cell and dark-fiber businesses, said CS&L President Kenny Gunderman. In a separate news release Monday, CS&L said it plans to sell nearly 14.7 million shares of common stock. Before the sale, the company’s former parent Windstream will exchange the shares, which comprise its entire remaining position in the company’s common stock, for indebtedness of Windstream with certain creditors in a debt-for-equity exchange, it said. After that exchange, Citigroup will acquire the shares from creditors, it said.