GCI Liberty Announces Agreement to Sell LendingTree Stake
November 17 2020 - 8:30AM
Business Wire
GCI Liberty, Inc. (“GCI Liberty”) (Nasdaq: GLIBA, GLIBP) today
announced that it has agreed to sell its stake of LendingTree, Inc.
("LendingTree"), and agreed to unwind its forward sale contract on
LendingTree shares. The gross proceeds of the sale are expected to
be $1,007 million. GCI Liberty intends to use the proceeds from the
sale to pay costs related to unwinding the forward sale contract
and for other general corporate purposes that could include debt
reduction at GCI Liberty and share repurchases post-closing of the
planned merger with Liberty Broadband Corporation (“Liberty
Broadband”). The closing of the sale of the LendingTree shares is
expected to occur on November 18, 2020.
“Doug Lebda and his team have grown LendingTree substantially
and positioned the company well for the future of fintech. It has
been a wonderful investment since Liberty became direct owners in
2008,” said Greg Maffei, GCI Liberty President and CEO. “Given our
substantial return and other objectives we have for GCI Liberty, we
felt it was an opportune time to monetize this investment. We wish
LendingTree continued success.”
Corporate Update
On August 6, 2020, GCI Liberty and Liberty Broadband announced
that they have entered into a definitive merger agreement under
which Liberty Broadband has agreed to acquire GCI Liberty in a
stock-for-stock merger (the “Combination”). Additional information
regarding the Combination can be found in the press release and
presentation issued by GCI Liberty on August 6, 2020, which are
available at ir.gciliberty.com/index.php/news-releases and
www.gciliberty.com/events, respectively, and the definitive merger
proxy statement filed on October 30, 2020. GCI Liberty will hold a
virtual special meeting of stockholders on December 15, 2020 at
10:30 a.m. (M.S.T.) where stockholders will be asked to consider
and vote on proposals related to the Combination.
The closing of the Combination is subject to, among other
things, certain regulatory approvals, including transfer of control
approval by the Federal Communications Commission (“FCC”), waiting
period requirements under the Hart-Scott-Rodino Act (“HSR”) and
approval by the Regulatory Commission of Alaska (“RCA”). GCI
Liberty and Liberty Broadband filed applications with the RCA on
September 16, 2020. The RCA’s approval must become a final order
before the Combination can close. The HSR waiting period expired on
October 9, 2020. The FCC released public notice of approval of
transfer of control on October 23, 2020, which is expected to
become a final order on December 2, 2020 (subject to the absence of
any applicable challenge). GCI Liberty expects the Combination to
close no later than the first quarter of 2021, subject to COVID-19
related delays.
Forward-Looking Statements
This press release includes certain forward-looking statements
including, without limitation, statements about the sale of the
LendingTree shares and the use of proceeds therefrom and the
planned merger with Liberty Broadband. These forward-looking
statements involve many risks and uncertainties that could cause
actual results to differ materially from those expressed or implied
by such statements, including, without limitation, general market
conditions and satisfaction of conditions to the planned merger
with Liberty Broadband. These forward-looking statements speak only
as of the date of this press release, and GCI Liberty expressly
disclaims any obligation or undertaking to disseminate any updates
or revisions to any forward-looking statement contained herein to
reflect any change in GCI Liberty’s expectations with regard
thereto or any change in events, conditions or circumstances on
which any such statement is based. Please refer to the publicly
filed documents of GCI Liberty, including its most recent Annual
Report on Form 10-K and Quarterly Reports on Form 10-Q, for
additional information about the risks and uncertainties related to
GCI Liberty which may affect the statements made in this press
release.
About GCI Liberty, Inc.
GCI Liberty, Inc. (Nasdaq: GLIBA, GLIBP) operates and owns
interests in a broad range of communications businesses. GCI
Liberty’s assets consist of its subsidiary GCI Holdings, LLC
(“GCI”) and interests in Charter Communications and Liberty
Broadband. GCI is Alaska’s largest communications provider,
providing data, wireless, video, voice and managed services to
consumer and business customers throughout Alaska and nationwide.
GCI has delivered services for nearly 40 years to some of the most
remote communities and in some of the most challenging conditions
in North America.
Additional Information
Nothing in this communication shall constitute a solicitation to
buy or an offer to sell securities of Liberty Broadband or GCI
Liberty. The offer and sale of shares in the Combination will only
be made pursuant to Liberty Broadband’s effective registration
statement. Liberty Broadband’s stockholders, GCI Liberty’s
stockholders and other investors are urged to read the joint proxy
statement/prospectus included in the registration statement on Form
S-4 filed regarding the Combination and any other relevant
documents filed with the SEC, as well as any amendments or
supplements to those documents, because they will contain important
information about the Combination. Copies of these SEC filings are
available free of charge at the SEC’s website (http://www.sec.gov).
Copies of the filings together with the materials incorporated by
reference therein are also available, without charge, by directing
a request to Liberty Broadband, 12300 Liberty Boulevard, Englewood,
Colorado 80112, Attention: Investor Relations, Telephone: (720)
875-5700 or to GCI Liberty, Inc., 12300 Liberty Boulevard,
Englewood, Colorado 80112, Attention: Investor Relations,
Telephone: (720) 875-5900.
Participants in the Solicitation
Liberty Broadband and GCI Liberty and their respective directors
and executive officers and other persons may be deemed to be
participants in the solicitation of proxies in respect of the
Combination. Information about Liberty Broadband’s directors and
executive officers is available in Liberty Broadband’s definitive
proxy statement for its 2020 annual meeting of stockholders, which
was filed with the SEC on April 10, 2020. Information about GCI
Liberty’s directors and executive officers is available in GCI
Liberty’s definitive proxy statement for its 2020 annual meeting of
stockholders, which was filed with the SEC on April 10, 2020. Other
information regarding the participants in the proxy solicitation
and a description of their direct and indirect interests, by
security holdings or otherwise, are contained in the joint proxy
statement/prospectus included in the registration statement on Form
S-4 filed with the SEC and other relevant materials to be filed
with the SEC, as well as any amendments or supplements to those
documents, regarding the Combination when they become available.
Investors should read the joint proxy statement/prospectus included
in the registration statement on Form S-4 carefully before making
any voting or investment decisions. You may obtain free copies of
these documents from Liberty Broadband and GCI Liberty as indicated
above.
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