Shenandoah Telecommunications to Pay Special Dividend After Wireless Sale

By Robb M. Stewart

Shenandoah Telecommunications Co. is returning $936.6 million to shareholders with a special dividend after the sale of its wireless assets and operations to T-Mobile US Inc.

The broadband-services provider said Friday shareholders will get a dividend of $18.75 a share, payable Aug. 2.

A day earlier, Shenandoah closed the sale of its wireless business for $1.94 billion cash. Of the proceeds, $684 million was used to fully repay all outstanding debt and to terminate a 2018 credit facility and related interest rate swap contracts.

The company said it expects about $19.6 million of the special dividend will be reinvested in via its dividend reinvestment plan, buying its shares in market transactions during the 30 days following the dividend payment date.

In premarket trading, Shenandoah's shares were up 6% after ending Thursday at $49.19, ahead 14% in 2021 though down 2.3% over the past 12 months.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

July 02, 2021 07:19 ET (11:19 GMT)

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