Uniti Group secures a 20-year fiber contract to expand its network from Montgomery, AL, to Cuba, AL, enhancing data connectivity.
Quiver AI Summary
Uniti Group Inc. has secured a 20-year contract to build over 130 miles of long-haul fiber and conduit infrastructure connecting Montgomery, AL, to Cuba, AL, for a strategic hyperscale customer. This project will enhance connectivity among key data centers and provide additional redundancy in fiber pathways. The contract, executed in Q4 2024, aims for completion by 2026 and reflects the growing demand for customized infrastructure solutions among hyperscale clients. Uniti's President of Wholesale & Strategic Accounts noted the importance of multiple fiber paths for network reliability. The company, which operates a vast communications infrastructure across the U.S., emphasized its commitment to meeting customer needs in a competitive environment.
Potential Positives
- Uniti Group Inc. secured a significant 20-year contract for a long-haul fiber and conduit project, enhancing its infrastructure and revenue potential.
- The new fiber routes will connect strategic data center locations, indicating growth in demand from hyperscale customers.
- The project involves the construction of over 130 route miles of new multi-conduit systems and high-strand count fiber cables, showcasing Uniti's investment in expanding its network capabilities.
- This contract was executed in Q4 2024, reflecting Uniti's momentum and ongoing strengthening of relationships with key hyperscale clients.
Potential Negatives
- Potential risks related to the merger with Windstream, including the possibility of modification or termination of the Merger Agreement, could create uncertainty about future operations and relationships with stakeholders.
- The company may face challenges in realizing anticipated benefits and synergies from the merger within the expected time frame, impacting financial performance.
- Forward-looking statements indicate dependency on customer performance and lease renewals, reflecting vulnerability to external market conditions and customer relationships.
FAQ
What is the new contract announced by Uniti Group Inc.?
Uniti has secured a new 20-year long-haul fiber and conduit contract connecting Montgomery, AL to Cuba, AL.
How many route miles will Uniti construct for this project?
Uniti plans to construct over 130 route miles of new multi-conduit systems and high-strand count fiber cables.
What is the expected delivery date for the new fiber routes?
The new fiber routes are expected to be delivered to the customer in 2026.
Who is the strategic customer involved in this contract?
The identity of the existing strategic hyperscale customer has not been disclosed in the press release.
How does this contract fit into Uniti's business strategy?
This contract aligns with Uniti's strategy to meet strong demand for customized infrastructure solutions in the hyperscale market.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$UNIT Insider Trading Activity
$UNIT insiders have traded $UNIT stock on the open market 1 times in the past 6 months. Of those trades, 0 have been purchases and 1 have been sales.
Here’s a breakdown of recent trading of $UNIT stock by insiders over the last 6 months:
- RONALD J. MUDRY (SVP-CHIEF REVENUE OFFICER) sold 28,693 shares for an estimated $113,050
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$UNIT Hedge Fund Activity
We have seen 142 institutional investors add shares of $UNIT stock to their portfolio, and 152 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- INVESCO LTD. removed 5,385,788 shares (-88.9%) from their portfolio in Q3 2024, for an estimated $30,375,844
- APOLLO MANAGEMENT HOLDINGS, L.P. added 5,007,940 shares (+inf%) to their portfolio in Q3 2024, for an estimated $28,244,781
- DAVIDSON KEMPNER CAPITAL MANAGEMENT LP removed 4,556,789 shares (-83.2%) from their portfolio in Q3 2024, for an estimated $25,700,289
- CITADEL ADVISORS LLC added 2,814,733 shares (+2004.6%) to their portfolio in Q3 2024, for an estimated $15,875,094
- GOLDMAN SACHS GROUP INC added 2,548,368 shares (+173.9%) to their portfolio in Q3 2024, for an estimated $14,372,795
- KING STREET CAPITAL MANAGEMENT, L.P. added 1,560,000 shares (+inf%) to their portfolio in Q3 2024, for an estimated $8,798,400
- LAZARD ASSET MANAGEMENT LLC removed 1,499,798 shares (-68.2%) from their portfolio in Q3 2024, for an estimated $8,458,860
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
LITTLE ROCK, Ark., Jan. 21, 2025 (GLOBE NEWSWIRE) -- Uniti Group Inc. (“Uniti”) (Nasdaq: UNIT) is pleased to announce a new 20-year long-haul fiber and conduit contract award from an existing strategic hyperscale customer that will connect Montgomery, AL, one of Uniti’s existing 30+ enterprise markets, to Cuba, AL. As part of this contract award, Uniti will construct over 130 route miles of new multi-conduit systems and high-strand count fiber cables.
The new east-west infrastructure will connect key data center locations and provide a diverse path to other north-south, long-haul routes. This new route will end just east of Meridian, MS, another one of Uniti’s existing enterprise markets.
“Uniti’s momentum within the hyperscale space continues and is evidence of the strong demand for our customized infrastructure solutions,” commented Greg Ortyl, Uniti’s President of Wholesale & Strategic Accounts. “We continue to see our hyperscale customers seeking three, four or, sometimes more, fiber paths into strategic data center locations to provide the network redundancy they demand, and we are excited to participate in future solutions that are also strategic for Uniti.”
This contract award was executed in the fourth quarter of 2024 and Uniti plans to deliver these fiber routes to its customer in 2026.
FORWARD-LOOKING STATEMENTS
Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended from time to time. Those forward-looking statements include all statements that are not historical statements of fact, including those regarding our expectations relating to the hyperscaler space.
Words such as "anticipate(s)," "expect(s)," "intend(s)," “plan(s),” “believe(s)," "may," "will," "would," "could," "should," "seek(s)" and similar expressions, or the negative of these terms, are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we can give no assurance that our expectations will be attained. Factors which could have a material adverse effect on our operations and future prospects or which could cause actual results to differ materially from our expectations include, but are not limited to the Company’s and Windstream’s ability to consummate our merger with Windstream on the expected terms or according to the anticipated timeline, the risk that our merger agreement with Windstream (the “Merger Agreement”) may be modified or terminated, that the conditions to our merger with Windstream may not be satisfied or the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement, the effect of the announcement of our merger with Windstream on relationships with our customers, suppliers, vendors, employees and other stakeholders, our ability to attract employees and our operating results and the operating results of Windstream, the risk that the restrictive covenants in the Merger Agreement applicable to us and our business may limit our ability to take certain actions that would otherwise be necessary or advisable, the diversion of management’s time on issues related to our merger with Windstream, the risk that we fail to fully realize the potential benefits, tax benefits, expected synergies, efficiencies and cost savings from our merger with Windstream within the expected time period (if all all), legal proceedings that may be instituted against Uniti or Windstream following announcement of the merger, if the merger is completed, the risk associated with Windstream’s business, adverse impacts of inflation and higher interest rates on our employees, our business, the business of our customers and other business partners and the global financial markets, the ability and willingness of our customers to meet and/or perform their obligations under any contractual arrangements entered into with us, including master lease arrangements, the ability and willingness of our customers to renew their leases with us upon their expiration, our ability to reach agreement on the price of such renewal or ability to obtain a satisfactory renewal rent from an independent appraisal, and the ability to reposition our properties on the same or better terms in the event of nonrenewal or in the event we replace an existing tenant, the availability of and our ability to identify suitable acquisition opportunities and our ability to acquire and lease the respective properties on favorable terms or operate and integrate the acquired businesses, or to integrate our business with Windstream’s as a result of the merger, our ability to generate sufficient cash flows to service our outstanding indebtedness and fund our capital funding commitments, our ability to access debt and equity capital markets, the impact on our business or the business of our customers as a result of credit rating downgrades and fluctuating interest rates, our ability to retain our key management personnel, changes in the U.S. tax law and other federal, state or local laws, whether or not specific to real estate investment trusts, covenants in our debt agreements that may limit our operational flexibility, the possibility that we may experience equipment failures, natural disasters, cyber-attacks or terrorist attacks for which our insurance may not provide adequate coverage, the risk that we fail to fully realize the potential benefits of or have difficulty in integrating the companies we acquire, other risks inherent in the communications industry and in the ownership of communications distribution systems, including potential liability relating to environmental matters and illiquidity of real estate investments; and additional factors described in our reports filed with the U.S. Securities and Exchange Commission.
Uniti expressly disclaims any obligation to release publicly any updates or revisions to any of the forward-looking statements set forth in this press release to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.
ABOUT UNITI
Uniti, an internally managed real estate investment trust, is engaged in the acquisition and construction of mission critical communications infrastructure and is a leading provider of fiber and other wireless solutions for the communications industry. As of September 30, 2024, Uniti owns approximately 144,000 fiber route miles, 8.7 million fiber strand miles, and other communications real estate throughout the United States. Additional information about Uniti can be found on its website at
www.uniti.com
.
SALES CONTACTS:
Ron Mudry, 727-421-0388
Senior Vice President, Chief Revenue Officer
ron.mudry@uniti.com
Greg Ortyl, 314-749-2478
President, Wholesale & Strategic Accounts
greg.ortyl@uniti.com
INVESTOR and MEDIA CONTACTS:
Paul Bullington, 251-662-1512
Senior Vice President, Chief Financial Officer & Treasurer
paul.bullington@uniti.com
Bill DiTullio, 501-850-0872
Senior Vice President, Investor Relations & Treasury
bill.ditullio@uniti.com
This press release was published by a CLEAR® Verified individual.
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
