Acquisitions

Lightower Acquisition

On July 18, 2017, the Company announced that it had entered into a definitive agreement to acquire LTS Group Holdings LLC ("Lightower") from Berkshire Partners, Pamlico Capital and other investors for approximately $7.1 billion in cash, subject to certain limited adjustments ("Lightower Acquisition"). Lightower owned or had rights to approximately 32,000 route miles of fiber located primarily in top metro markets in the Northeast, including Boston, New York and Philadelphia. On November 1, 2017, the Company closed the Lightower Acquisition.

The preliminary purchase price allocation for the Lightower Acquisition is shown below and is based upon a preliminary valuation which is subject to change as the Company obtains additional information with respect to fixed assets, intangible assets and certain liabilities.



Preliminary Purchase Price Allocation
Current assets	$	105
Property and equipment	2,188
Goodwill^(a)	3,168
Other intangible assets, net^(b)	2,177
Other non-current assets	30
Current liabilities	(174		)
Other non-current liabilities	(342		)
Net assets acquired^(c)	$	7,152


(a)	The preliminary purchase price allocation for the Lightower Acquisition resulted in the recognition of goodwill based on:


•	the Company's expectation to leverage the Lightower fiber footprint to support new small cells and fiber solutions,


•	the complementary nature of the Lightower fiber to the Company's existing fiber assets and its location where the Company expects to see wireless carrier network investments,


•	the Company's belief that the acquired fiber assets are well-positioned to benefit from the continued growth trends in the demand for data, and


•	other intangibles not qualified for separate recognition, including the assembled workforce.


(b)	Predominantly comprised of site rental contracts and customer relationships.


(c)	The vast majority of the assets will be included in the Company's REIT. As such, no deferred taxes were recorded in connection with the Lightower Acquisition.