Digital infrastructure investment firm Digital Colony announced this week that it entered an agreement to acquire Boingo Wireless, a distributed antenna system (DAS) and Wi-Fi provider for wireless carriers, consumers, property owners and advertisers around the world. Boingo will become a privately held company when the transaction is complete.
Under the agreement terms, Digital Colony will acquire all of the outstanding shares of Boingo common stock for $14 per share in cash through a merger. The transaction is valued at approximately $854 million, including the assumption of $199 million of Boingo’s net debt obligations.
Both parties bring a wealth of experience and resources to the transaction. Boingo’s DAS, Wi-Fi and small cell solutions reach more than one billion people a year, making it one of the largest indoor wireless network providers. Its solutions provide connectivity in airports, stadiums, military bases, convention centers, multi-family communities, commercial real estate properties and more. Meanwhile, Digital Colony has more than $30 billion in assets under management and has put its investments to work to help enable the next generation of mobile and Internet connectivity in mission critical infrastructure around the globe.
“We are pleased to have reached this agreement with Digital Colony, which will deliver significant and immediate value to Boingo’s stockholders and concludes a robust strategic review process undertaken by Boingo over the past year,” Boingo Wireless Chief Executive Officer Mike Finley said in a statement. “We believe Digital Colony’s expertise owning and operating digital infrastructure businesses, combined with its relationships, resources and access to long-term, private capital markets, will provide greater flexibility for Boingo to continue advancing its business strategy.”
“Boingo is a leader in indoor wireless infrastructure, operating networks that serve a large and growing addressable market,” Digital Colony Managing Director Warren Roll said. “We look forward to working with the experienced Boingo team as they continue to develop and deploy reliable networks serving their diverse set of high-quality customers.”
The transaction is subject to Boingo shareholder approval, regulator approvals and other customary closing conditions, but is expected to close during the second quarter of 2021.
Joe Dyton can be reached at firstname.lastname@example.org.