AT&T Inc. plans to acquire Straight Path Communications Inc., a Henrico County-based company that leases wireless spectrum licenses, in a deal valued at $1.6 billion.
The Dallas-based telecommunications giant said it will buy Straight Path for $95.63 per share in an all-stock merger, whereby Straight Path shareholders will be paid with AT&T stock. Straight Path shareholders will receive a combined $1.25 billion in stock.
The deal gives AT&T more wireless spectrum to develop the next generation of high-speed technology. And it could get Straight Path off the hook from a Federal Communications Commission penalty.
The transaction’s total value of $1.6 billion includes liabilities and payments to be remitted to the FCC per the terms of a consent agreement.
