The Bradley family’s News-Press & Gazette Company is getting out of the cable MSO business. It has agreed to sell NPG Cable Inc. to Cequel Communications LLC, which does business as Suddenlink Communications. The price is approximately $350 million.
Suddenlink said it expects to close the acquisition in the first quarter of 2011 and currently has sufficient existing liquidity sources to fund the transaction.
NPG’s cable systems serve approximately 83,000 customers, representing approximately 210,000 revenue generating units or RGUs, with operations in St. Joseph, MO; Mammoth Lakes, CA; and several, clustered Arizona communities, including Flagstaff and Sedona, Lake Havasu and Kingman.
“We’re excited about the opportunity to acquire NPG and welcome its employees and customers to the Suddenlink family,” said Jerry Kent, Suddenlink’s Chairman and Chief Executive Officer. “This acquisition is a solid fit with our existing operations and we have a proven track record of serving similar communities. We have great respect for NPG and its owners, the Bradley family, and look forward to working with them on the transition.”
Suddenlink noted that it has operations in Maryville, MO, and Bishop, CA, which are proximate to NPG’s cable systems in St. Joseph and Mammoth Lakes, respectively. Suddenlink officials said there is an opportunity to interconnect those properties after the acquisition closes. RBC Daniels is acting as the exclusive financial advisor to NPG in this transaction.
“The foundation of our success at NPG Cable for the last 45 years has been our family culture, where employees approach their daily work and make decisions as if they own the company,” said Brian Bradley, NPG’s Chief Administrative Officer. “We are thrilled that Suddenlink, which has a great reputation, shares a similar culture.”
With its exit from cable TV, News-Press & Gazette Company will continue to have holdings in the newspaper, radio and television industries. The company is based in St. Joseph, MO.