RCN Takes Full Control in D.C.10/19/2004 6:28 AM Eastern
RCN Corp. now owns all of its subscribers in our nation’s capital.
Its RCN Telecom Services of Washington D.C. Inc. subsidiary has elected to acquire the remaining 50% stake in the system for $29 million from Potomac Electric Power Co.’s Pepco Communications unit.
RCN matched a right-of-first-refusal provision in its operating agreement with Pepco, which gave it the right to match a third party’s offer to purchase the stake.
The operator now has full control of approximately 48,000 subscribers and 180,000 marketable homes in the Greater Washington, D.C., area.
“This is an important strategic move for us,” RCN chairman and CEO David C. McCourt said in a prepared statement. “We will now have full control of our operations and state-of-the-art network in one of the country’s most important markets as we continue to roll out more products and services to our customers.”