Paetec to acquire US LEC Corp. in a $450 million deal

Paetec to acquire US LEC Corp. in a $450 million deal

Privately held telecommunications company Paetec has announced their plans to acquire US LEC Corp.

The deal is worth around $450 million and the announcement helped US LEC in the stock market as its share price was boosted by around 8%.

Both of these companies are present in the communications services market and provide facilities like voice-over-Internet to medium- and large-sized businesses.

The deal would see both these companies becoming subsidiaries of a new public holding company, New Paetec. They have challengers in giant telecom companies including AT&T and Verizon.