BROOMFIELD — Shareholders for Level 3 Communications Inc. (NYSE: LVLT) and CenturyLink Inc. (NYSE: CTL) overwhelmingly approved all proposals related to the merger of the two companies announced in October and valued at $34 billion.
At a special meeting of CenturyLink’s shareholders today in Monroe, La., about 96 percent of the votes cast supported the decision to issue CenturyLink common stock to Level 3 shareholders.
Level 3’s stockholders also voted at a special meeting today in Broomfield, and nearly 99 percent of the votes cast were in favor of approving the merger agreement.
“The combination of CenturyLink and Level 3 will significantly improve our global network capabilities, creating a company with one of the most robust fiber networks in the world,” said Glen F. Post, III, CEO and president of CenturyLink, in a prepared statement. “This expanded network should allow us to bring substantial operational and service benefits to our enterprise customers, as well as an enhanced customer experience.”
In addition to the shareholder approval, the companies recently received approvals in Georgia and West Virginia and clearances in Connecticut, Indiana and Louisiana. Ohio, Utah and Nevada issued clearances. The two companies expect to receive the remaining state, federal and international approvals in time to complete the merger by the end of September.
The closing of the transaction will give Level 3 stockholders $26.50 per share in cash and 1.4286 shares of CenturyLink stock for each Level 3 share they own. CenturyLink shareholders will own approximately 51 percent and Level 3 shareholders will have 49 percent of the combined company. The combined company will be headquartered in Monroe with a key operational in Colorado and the Denver metro area.
At the time of the announcement, Level 3’s stock was trading at $57.03.