Shentel to acquire WideOpen Blacksburg, expanding fiber service

Published 20/06/2025, 16:06
Shentel to acquire WideOpen Blacksburg, expanding fiber service

EDINBURG, Va. - Shenandoah Telecommunications Company (NASDAQ:SHEN), a $771 million market cap telecommunications provider with 27.8% revenue growth over the last twelve months, announced plans to acquire Blacksburg Broadband LLC, which operates as WideOpen Blacksburg, to expand its Glo Fiber service in Blacksburg, Virginia.

The acquisition is expected to be completed by early to mid-July 2025, according to a press release statement from the company.

WideOpen Blacksburg has been providing gigabit fiber network services in the area since 2017. The company’s President, Dr. Andrew Cohill, stated, "I am confident that Glo Fiber is going to provide outstanding customer service and great fiber-delivered Internet to our customers."

Ed McKay, Shentel’s Chief Operating Officer, noted that WideOpen Blacksburg’s network aligns with their expansion plans in the Blacksburg area.

Glo Fiber offers fiber broadband services with symmetrical upload and download speeds of up to 5 gigabits per second through Shentel’s 17,200-mile regional fiber network. The service is currently available to approximately 363,000 homes and businesses across Virginia, West Virginia, Pennsylvania, Maryland, Ohio, and Delaware.

Shentel provides broadband services through fiber optic and cable networks to customers in eight contiguous states in the eastern United States. The company’s offerings include internet, video, voice, Ethernet, dark fiber leasing, and managed network services.

Financial terms of the acquisition were not disclosed in the announcement. For investors seeking deeper insights, InvestingPro offers comprehensive analysis with 6 additional ProTips and a detailed Pro Research Report, available as part of the subscription.

In other recent news, Shenandoah Telecommunications Company (Shentel) reported its first-quarter 2025 earnings, revealing a miss on earnings per share (EPS) expectations. The actual EPS was -$0.19, falling short of the forecasted -$0.14. Despite a 27% increase in revenue to $87.9 million, the revenue also missed the forecast of $90.71 million. Shentel’s adjusted EBITDA increased by 43% to $27.6 million, with EBITDA margins rising from 28% to 31%. In another development, Shentel announced a modification to its Investment Agreement with ECP Fiber Holdings, allowing ECP to acquire up to an additional 2,250,000 shares of Shentel’s common stock. This waiver is valid until May 21, 2026, and does not affect the remaining terms of the Investment Agreement. Analysts from firms like Raymond James and BWS Financial have been closely monitoring these developments, with discussions focusing on potential refinancing and capital investment strategies. Shenandoah plans significant capital investments between $250 million and $280 million in 2025, aiming to pass 550,000 homes by 2026.

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