UniTek USA LLC, a portfolio company of HM Capital Partners, has agreed to acquire the cable services operating unit of 180 Connect Inc., which is being acquired by DirecTV in a separate transaction. Unitek also will acquire certain DirecTV installation services markets in exchange for cash and UniTek's satellite installation services in
180 Connect Inc., one of North America's largest providers of installation, integration and fulfillment services to the home entertainment, communication, and home integration service industries, has signed a definitive merger agreement with DIRECTV, the nation's leading satellite television service. The transaction will provide DIRECTV with control over a significant portion of its installation and home service network and is expected to close in the third quarter of 2008.
Under the terms of the agreement, DIRECTV will acquire 100 percent of 180 Connect's outstanding common stock and exchangeable shares for $1.80 per share.
In a separate transaction, UniTek
By acquiring 180 Connect, DIRECTV will gain control of one of its largest installation and home service providers in 45
“The acquisition of 180 Connect enables DIRECTV to gain operational control over a large portion of its installation and service network and is an important part of our effort to continuously improve the customer experience,” said Mike Palkovic, Executive Vice President, Operations, DIRECTV, Inc. “Our installation technicians are the first and often the only point of face to face contact that a customer has with DIRECTV and this merger underscores the importance we place on this interaction. We welcome 180 Connect's employees to the DIRECTV family and with its solid base of technicians in the field and strong back-office support, we believe we have a great opportunity for growth and to provide an even higher level of service that our customers have come to expect.”
Palkovic added, “DIRECTV is also excited to expand its home service provider relationship with UniTek
“DIRECTV has been a valued partner in helping us grow our business over the years and they were instrumental in working with us to develop our industry-leading customer service platform,” said Peter Giacalone, President and Chief Executive Officer of 180 Connect. “Over the years, 180 Connect has experienced significant growth and while the Company believes it has been successful in achieving many of its goals and positioning itself to become a dominant sector player, these efforts are not, in our opinion, being appropriately valued by the public markets. After carefully evaluating alternative strategies, we concluded that in the current and foreseeable market conditions, the sale of the Company represents a compelling opportunity to realize value for the shareholders of 180 Connect. We are very pleased to have found the right buyer for the Company and are confident that industry leading DIRECTV will take this business to the next level.”
Scott Hisey, Chief Executive Officer of UniTek USA, said, “UniTek is pleased to participate in this highly strategic transaction with DIRECTV that strengthens our position as the premier provider in telecom, cable and satellite service. This transaction will substantially expand the scale and footprint of our cable service division and we look forward to continuing to provide outstanding service to 180 Connect's cable customers. We are pleased to welcome the 180 Connect employees who will be joining the UniTek team and at the same time we thank those UniTek employees who will be transitioning to DIRECTV for their outstanding service.”
About 180 Connect Inc.
180 Connect Inc. is one of North America's largest providers of installation, integration and fulfillment services to the home entertainment, communications and home integration service industries. With more than 4,000 skilled technicians and 750 support personnel based in over 85 operating locations, 180 Connect is well positioned as the only pure play national residential service provider in the market. 180 Connect shares are traded under the name of 180 Connect Inc. on the OTCBB under the symbols CNCT.OB, CNCTU.OB and CNCTW.OB. For more information on 180 Connect Inc., please visit www.180connect.net.
About DIRECTV, Inc.
DIRECTV, Inc. (NASDAQ:DTV), the nation's leading satellite television service provider, presents the finest television experience available to more than 16.8 million customers in the United States and is leading the HD revolution with 95 national HD channels