Windstream closes Iowa Telecom deal

Windstream, Lexington's local telephone provider, announced Tuesday it has completed its acquisition of Iowa Telecommunications Services. The $1.2 billion cash and stock deal saw Windstream issue 26.7 million shares of stock valued at $284 million and also pay $260 million in cash. The company also repaid Iowa Telecom's debt, which was $613 million, according to a Windstream news release.

The acquisition of Iowa Telecommunications Services Inc. will expand Windstream's operations into Iowa and Minnesota, adding about 249,000 phone lines, 96,000 high-speed Internet customers and 27,500 digital television subscribers.

Arkansas-based Windstream has been snapping up rural phone companies including NuVox Inc. and D&E Communications Inc.

This story was originally published June 1, 2010 at 5:32 PM with the headline "Windstream closes Iowa Telecom deal."