Enterprise communications giant Windstream has established a new holdings company that will be the publicly traded parent of Windstream Corp. and its subsidiaries.
The Little Rock, Ark.-based company says this new ownership design will improve its corporate structure, make it stronger financially and make it more strategically flexible going forward. It mirrors what many other companies in the industry are doing, Windstream said.
The new holding company will trade on the Nasdaq under the existing "WIN" ticker symbol. As of 4 p.m. ET Friday, existing shares of Windstream Corp. stock will become the equivalent in Windstream Holdings stock on a one-for-one basis. Stockholders don't have to do anything for the conversion to take place.
There will be no change to the board or executive leadership — Windstream's current board and officers will oversee both companies. There also has been no change in Windstream's dividend practice.
The company's stock price was up 1 percent on the news in Friday morning trading.
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