Level 3’s headquarters in Broomfield. (The Denver Post file photo)
A new regulatory filing detailing TW Telecom’s with Level 3 Communications shows that two other companies submitted preliminary bids to acquire TW Telecom in 2012.
The companies are listed only as Party A and Party B. They both offered at least $30 a share in cash and stock for Littleton-based TW Telecom in initial bids in August 2012.
But in the following month, the companies decided not to submit final bids. At around that time, , which acquired Denver-based Qwest in 2011, was interested in acquiring TW Telecom.
The also reveals
that TW Telecom reached out to Level 3 and and fourth company, Party C, to gauge their interest in merging. Both declined.
Broomfield-based Level 3 was in the midst of integrating recently acquired Global Crossing at the time.
In March of this year, Level 3 CEO Jeff Storey “briefly discussed recent developments in the industry” with TW Telecom CEO Larissa Herda at an investor conference and suggested setting up a meeting to continue the talk. A that meeting a month later, Storey “expressed interest in a potential business combination” with TW Telecom.
In May, Storey initially offered $37 per share for TW Telecom. TW Telecom countered with $42 per share.
In mid-June, the companies announced plans to merge in a cash-and-stock deal valued at $40.86 per share.
The $5.7 billion deal is scheduled to close in the fourth quarter, pending shareholder and regulatory approval.
Level 3 and TW Telecom operate massive Internet networks that carry traffic for business clients.
A shareholder-rights law firm has said to determine whether the TW Telecom board properly shopped the firm before agreeing to the Level 3 offer.
