RCN Corp. Tuesday announced a definitive agreement to purchase Consolidated Edison Inc.’s telecommunications subsidiary.
The company said it will acquire all of Consolidated Edison Communications Holding Co. Inc. for $32 million, funded with cash on hand.
Con Edison's boards of directors and RCN’s required lenders have already approved the transaction, RCN said. The deal -- expected to close in the first quarter of 2006 -- is still subject to regulatory approvals.
RCN said the acquisition will allow it to increase the number of addressable homes in its New York, New Jersey and Connecticut residential franchise areas through significant footprint expansion, including multiple high-capacity river crossings, strengthening its competitive position in the core metro market.