Boston Omaha Corporation, through its wholly owned subsidiary FIF Utah LLC, announced yesterday it’s completed the acquisition of Utah Broadband, LLC, (UBB), a family-owned broadband fiber and fixed wireless internet service provider. Founded in 2002, UBB provides high-speed internet services to its 10,000-plus customers throughout Salt Lake City, Park City, Ogden, Provo and surrounding communities.
The purchase price consisted of $21,600,000 in cash paid at closing, subject to certain working capital and other adjustments, and the issuance of 20 percent of the common membership interests of FIF Utah, valued at $5,400,000.
Steve McGhie will continue as CEO and retain a 20 percent initial ownership stake in the newly formed entity as he continues to guide Utah Broadband’s next phase of growth. The remaining 80 percent initial ownership stake is owned by a wholly owned subsidiary of Boston Omaha, which intends to make significant additional capital investments to fund the company’s planned fiber-to-the-home expansion.
Co-CEO of Boston Omaha, Adam Peterson added, “Steve has built UBB into a first-class business with a focus on delighting customers and bringing high-speed data internet connections to difficult to build communities in the Wasatch mountains. Boston Omaha has now committed to fiber-to-the-home build outs in various geographies through the acquisitions of AireBeam in Arizona, its partnership with Dream Finders Homes, and UBB. We look forward to making significant additional capital investments to bring the fiber internet network of tomorrow to more and more households.”