Cincinnati Bell and Verizon Wireless have announced a proposed deal in which Verizon would purchase Cincinnati Bell’s spectrum for $210 million. Cincinnati Bell’s license holdings include PCS, AWS, and 700 MHz lower band spectrum. The deal, which will require FCC approval, is expected to close in the second half of 2014. Cincinnati Bell will lease back the spectrum it is selling in order to continue its own service for an 8-12 month period after closing. The company will use this transition period to wind down its wireless network operations and help its wireless customers transition their service to other carriers. Verizon Wireless has entered into a separate agreement to assign its rights to acquire the spectrum licenses being sold to Grain Management, LLC, a private equity firm that invests in the media and telecommunications sectors. Verizon Wireless will then lease some of the spectrum licenses from Grain Management.
