Core Argument - Carronade Capital believes Verizon's offer of $38.50 per share for Frontier Communications is insufficient compared to Frontier's intrinsic value of at least $48.60 per share [2] - The proposed transaction does not represent fair value to Frontier shareholders, and Carronade encourages shareholders to vote against it [2] Financial Analysis - Third-party analyses support a higher standalone valuation range for Frontier, with estimates ranging from $47.88 to $60+ per share before synergy value [2] - Recent fiber transactions have been valued at low to mid 20's x TEV/EBITDA, and applying a discounted multiple of 15x to Frontier's Fiber EBITDA supports a $48.60 per share valuation [3] - The conservative valuation excludes value from Frontier's non-fiber business, which generated $756 million in LTM EBITDA [3] Synergy Analysis - Verizon expects at least $500 million in opex run-rate synergies, with potential for more, including capex synergies [4] - Verizon anticipates a 50% reduction in mobility churn and a 40% reduction in fiber churn, leading to immediate revenue and EBITDA accretion [4] - Verizon plans to extend premium offerings to Frontier's customers and generate revenue from mobile and home conversions, including cross-selling benefits [4] Strategic Importance - Frontier provides Verizon with a combined 25 million fiber passings in 31 states and Washington DC, significantly expanding Verizon's fiber footprint [5] - The acquisition accelerates Verizon's delivery of premium mobility and broadband services and powers its Intelligent Edge Network for digital innovation like AI and IoT [5] - Verizon views the acquisition as accretive from day one on revenue growth and EBITDA, with EPS and cash flow accretion expected within a year [5] Shareholder Concerns - The proxy process appears rushed, with the final proxy filed after market close on October 7, 2024, and the record date set for the same day, limiting shareholder review [6] - The lengthy regulatory approval process and expected inflection in Frontier's results suggest shareholders should have more time to evaluate the transaction [7] Conclusion - Carronade Capital intends to vote against the proposed transaction and encourages other shareholders to do the same until a fair share of the value created by the combined enterprise is offered [7][8]

Michael (Mike) Dion is an FP&A, Corporate Finance, and Small Business expert who spent the last 12 years working in the Fortune 100, building a startup's finance and accounting department, advising small businesses, and guiding non-profit organizations as a board member. He has finance experience across multiple industries, including Telecom, Media and Entertainment, Hospitality, and Construction. He founded F9 Finance, a website that helps Finance professionals accelerate their careers; and simplifies Fina ...

DENVER, Oct. 16, 2024 /PRNewswire/ -- Frontier Group Holdings, Inc. (NASDAQ: ULCC), parent company of Frontier Airlines, Inc., will be releasing third quarter 2024 financial results before market open on Tuesday, October 29, 2024. Management will host a live webcast with analysts to discuss these results the same day at 11:30am ET. The webcast will be available to the public on a listen-only basis at http://ir.flyfrontier.com. An archive of the call will be available on the company's website for 30 days. Ab ...

Frontier Group Holdings (ULCC) shares soared 16.4% in the last trading session to close at $5.81. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 29.6% gain over the past four weeks. This jump in stock price came after news that Spirit Airlines (SAVE) , a Frontier Group Holdings rival in the low-cost airline space, is considering bankruptcy. Spirit has faced losses and declining revenue due to fierce competition and the failed at ...

A rival is on the fiscal ropes, and could be partially (or even wholly) going away in the near future. Shares of Frontier Airlines parent Frontier Group Holdings (ULCC 18.34%) are up 18% as of midday Friday, followed closely by JetBlue Airways' (JBLU 14.08%) 16% surge. Both rallies are in response to reports that rival carrier Spirit Airlines (SAVE -26.56%) is considering filing for bankruptcy. If true, it could mean the sale of part or all of the struggling airline. Bankruptcy imminent? Take the report wit ...

Key Takeaways Shares of discount airlines Frontier Group Holdings and JetBlue soared on a report that rival Spirit Airlines is holding discussions about a possible bankruptcy. The Wall Street Journal said Spirit is holding talks with bondholders and other creditors about a Chapter 11 filing. Spirit Airlines shares spiraled on the news, hitting an all-time low. Shares of Frontier Group Holdings (ULCC) and JetBlue Airways (JBLU) took off Friday on a report that discount airline rival Spirit Airlines (SAVE) is ...

Verizon Communications Inc. (NYSE: VZ ) just raised its dividend yet again to $0.6775 per share per quarter, handing passive income investors a decent 2% dividend hike. In addition, the U.S. wireless carrier announced the acquisition of Frontier Communications ( A financial researcher and avid investor with a keen eye for innovation and disruption, as well as growth buyouts and value stocks. Keeping an eye on the pace of high tech and early growth companies, I write about current events and the biggest news ...

LOUISVILLE, Ky., Sept. 19, 2024 /PRNewswire/ -- Bulleit Frontier Whiskey proudly announces the launch of Bulleit Rye 10-Year-Old, the latest addition to its permanent portfolio of exceptional whiskeys. This new expression joins the acclaimed Bulleit Bourbon 10-Year-Old, forming the foundation of the new Bulleit 10-Year Aged Whiskeys range. Together, these age-statement whiskeys reflect Bulleit's commitment to crafting premium, bold-flavored whiskey while continuing to innovate to bring an expanded portfolio ...

LOUISVILLE, Ky., Sept. 16, 2024 /PRNewswire/ -- Bulleit Frontier Whiskey is announcing the launch of its new US brand campaign, "We Aren't Made To Be Still". The campaign draws from the same spirit of relentless experimentation that created its expectation-defying flagship bourbon and continues to drive the brand's commitment to pushing the frontiers of what American whiskey can be. Bulleit Frontier Whiskey's "We Aren't Made To Be Still" campaignBulleit Frontier Whiskey's "We Aren't Made To Be Still" campai ...

NEW YORK, Sept. 11, 2024 /PRNewswire/ -- Monteverde & Associates PC (the "M&A Class Action Firm"), has recovered money for shareholders and is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report. We are headquartered at the Empire State Building in New York City and are investigating Frontier Communications Parent, Inc. (Nasdaq: FYBR), relating to its proposed merger with Verizon Communications Inc. Under the terms of the agreement, Frontier shareholders will be entitled ...