- DigitalBridge and Crestview completed the US$1.5 billion take-private acquisition of WideOpenWest (WOW!), paying public shareholders US$5.20 per share in cash and delisting the stock.
- The offer represents a premium of about 63 % to WOW!’s August 8, 2025 close and 37 % to its unaffected price before the initial May 2024 proposal.
- WOW! enters private ownership with declining 2024 revenue and a net loss but modest Adjusted EBITDA growth, driven by high capex and aggressive fiber and Greenfield expansion.
- The investment thesis hinges on using a private, infrastructure-focused capital structure to scale WOW!’s fiber network, improve operations, and capture long-term broadband demand despite competitive and capital-intensity risks.
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The acquisition of WOW! by DigitalBridge and Crestview marks a decisive shift for the company away from public markets into a model more suited to infrastructure investment and telecom build-outs. The all-cash offer of US$5.20 per share values WOW! on an enterprise basis at ~US$1.5 billion; this reflects both the strategic value of its broadband operations and the need to address its financial underperforming in aggregate.[1]
From a financial standpoint, WOW! demonstrated a shrinking top line in 2024, with Total Revenue down ~8 % year-over-year tied to declines in higher-margin video and telephony lines, though its HSD (high-speed data) revenue was more stable. Adjusted EBITDA rose modestly, indicating that while cash flows are under pressure, cost management is producing leverage. Capex remains high, especially for expansion and fiber passes. [3]
Operationally, WOW! is pushing hard on fiber-to-the-home in its Greenfield markets, having passed over 100,000 fiber homes and nearly 2 million total homes and businesses in its service footprint. The penetration in these new markets is still in early stages (mid-teens in Greenfield). Edge-out initiatives show higher penetration rates. These dynamics suggest this deal is fundamentally premised on executing network growth and monetization over multiple years. [3][5]
Strategically, for DigitalBridge, this is consistent with its focus on digital infrastructure (fiber, small cells, edge, data centers), expanding its asset base ahead of its own acquisition by SoftBank. The deal with WOW! deepens its fiber broadband portfolio, which benefits from secular tailwinds (remote work, streaming, demand for low latency). For Crestview, which already held ~37 % and is rolling over its stake, there’s continuity in investment rationale. [1][5]
Key risks and open questions include: can WOW! turn around its subscriber base and ARPU in its legacy markets? Will fiber rollout yield acceptable returns given capital intensity and competition? What financing structure will support growth now that external reporting pressure is reduced? How will regulatory approvals, particularly for broadband infrastructure, affect rollout and cost? [3][5]
Supporting Notes
- Transaction terms: US$1.5 billion enterprise value; public shareholders receive US$5.20 per share in an all-cash offer; WOW!’s common stock delisted.[1]
- Premiums: 63 % over closing price on August 8, 2025; 37.2 % over unaffected price before May 2, 2024 non-binding offer. [1][2]
- 2024 Financials: Total revenue US$630.9 million (down ~8.1 %) and net loss US$58.8 million for year ended December 31, 2024. [3][4]
- Adjusted EBITDA in 2024: US$288.4 million, up ~4.7 % YoY; 4Q-2024 Q-o-Q and Y-o-Y growth in Greenfield markets. [3]
- Homes passed: in Greenfield markets, over 100,000 fiber homes passed; total homes and businesses passed ~2 million in WOW!’s network. [1][5][3]
- Penetration: Greenfield markets penetration rate ~16.6 % in 2024; Edge-out projects showing 39-45 % penetration for some vintages. [3][5]
- CapEx: US$215.8 million in total capital expenditures in 2024, with a significant portion earmarked for expansion; in Q2 2025, US$14.1 million devoted to Greenfield fiber projects, with budgeted Greenfield spend for 2025 between US$60-70 million. [3][5]
- DigitalBridge’s scale: as of Sept 30, 2025, DigitalBridge manages~US$108 billion in infrastructure assets.[4][1search15]
Sources
- www.digitalbridge.com (DigitalBridge) — 2025-12-31
- [1] ir.digitalbridge.com (DigitalBridge IR / PRNewswire) — 2025-08-11
- [2] www.davispolk.com (Davis Polk) — 2025-08-12
- [3] ir.wowway.com (WideOpenWest Investor Relations) — 2025-03-14
- [4] www.digitalbridge.com (DigitalBridge) — 2025-12-31
- [5] ir.wowway.com (WideOpenWest Investor Relations) — 2025-09-04