MCLEAN, Va.-Nextlink Communications Inc. said it agreed to acquire Eagle River Investment’s 50-percent ownership interest in Internext L.L.C. for 4.1 million shares of Nextlink common stock, valued at approximately $220 million based on the company’s closing stock price of $53.50 on Dec. 6.
Nextlink said if the price of its common stock exceeds $64.20 at the time of the transaction’s close, Eagle River will receive approximately 3.4 million shares. If the price at closing time is less than $42.80, Eagle River will receive approximately 5.1 million shares.
Internext entered into a cost-sharing agreement in July 1998 with Level 3 Communications Inc. to build a 16,000-mile inter-city national fiber-optic network connecting nearly every major city in the United States and Canada, Nextlink said.
The transaction is expected to close early next year.
