Minority Shareholder Urges Rejection of WOW Takeover Offer

A WideOpenWest minority shareholder is calling the unsolicited, $4.80 per share offer for the cable company "offensively low." In a letter Thursday to WOW's special committee evaluating the purchase offer from DigitalBridge Investments and Crestview Partners (see 2405030047), LB Partners said the $4.80 offer "discounts a reasonable valuation by half." WOW's fiber assets are "destined to be a massive source of value," LB said in the letter, which was filed with the SEC. It said that while fixed broadband providers are facing heavy competition from 5G fixed wireless providers, that fixed wireless access offering will become a smaller threat as mobile operators allocate more of their spectrum toward higher-value mobile services. That moderation of FWA competition "is set to propel [WOW] performance for years to come," LB said. Between June and early November 2023, WOW stock bounced between $6.90 and nearly $9, before a big drop; since then, it has largely traded at less than $4.