PPL Corp. said Thursday it will sell PPL Telcom, its wholesale subsidiary, to Communications Infrastructure Investments (CII) for approximately $60 million.
PPL said it expects net proceeds of $50 million from the transaction. The company had announced earlier this month it wanted to sell PPL Telcom so it could focus on its energy business.
CII is a holding company owned by Columbia Capital, M/C Venture Partners, Oak Investment Partners, Battery Ventures and Centennial Ventures. Based in Boulder, Colo., it buys communications companies that use fiber as the transport mechanism.
The deal is expected to close by the end of the third quarter.
PPL Telcom is based in Pennsylvania. It serves as a carriers carrier for telecom and wireless carriers, ISPs, and large businesses and institutions.
UBS Investment Bank acted as PPLs exclusive financial advisor for the transaction.
PPL Corp.s stocks closed at $43.33, down 98 cents on volume of 2.1 million shares.
PPL Corp. www.pplweb.com