Frontier Communications Shareholders Approve Acquisition By Verizon: Retail Gives A Thumbs-Up

Shareholders of pure-play fiber internet provider Frontier Communications Parent, Inc. ($FYBR) on Wednesday have approved the acquisition of the company by Verizon Communications Inc. ($VZ) at a special meeting.

Following the announcement, shares of both the companies were trading over 1% higher on Wednesday noon.

Frontier said in a statement that approximately 63% of its shareholders voted in favor of the merger agreement proposal, with ten of the company’s top 12 stockholders voting to approve the transaction.

Frontier CEO Nick Jeffery said that the company is looking forward to closing the transaction by the first quarter of 2026.

In September, both companies had entered into an agreement under which Verizon will be acquiring Frontier in an all-cash transaction valued at $20 billion, as it seeks to expand its fiber footprint across the nation and accelerate its delivery of premium mobility and broadband services to current and new customers. Verizon will pay $38.50 per share in cash to Frontier stockholders.

Verizon had said earlier that it expects to realize at least $500 million in run-rate cost synergies by the third year from benefits of increased scale and distribution and network integration.

It also noted that over the last four years, Frontier has invested $4.1 billion upgrading and expanding its fiber network, and now derives more than 50% of its revenue from fiber products.

Following the announcement, retail sentiment for Frontier on Stocktwits jumped into the ‘extremely bullish’ territory (85/100) from ‘bearish’ a week ago.

Meanwhile, investor sentiment for Verizon also shifted into the ‘extremely bullish’ territory (86/100) on Wednesday.

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