Cable One, Inc. 8-K

What Happened
Cable One, Inc. announced it entered into a Purchase Agreement on January 3, 2026 to acquire the remaining ~55% equity interest in Mega Broadband Investments Holdings LLC (MBI), the operator of Vyve Broadband. The GTCR investors exercised a put option on January 2, 2026 that triggered the deal. Cable One currently expects the Option Price to be approximately $475 million to $495 million and expects MBI’s net indebtedness at closing to be roughly $845 million to $895 million (term loans maturing November 2027). The company intends to fund the purchase with a mix of cash and debt (which may include borrowings under its $1.25 billion revolver or new debt). Closing is anticipated October 1, 2026 (or earlier at Cable One’s option) and is subject to HSR clearance, regulatory consents (FCC/state commissions — deemed satisfied May 12, 2026 per the agreement) and customary conditions.

Key Details

• Purchase Agreement executed January 3, 2026; GTCR investors exercised the put on January 2, 2026.
• Cable One currently owns ~45% of MBI; deal covers the remaining ~55%.
• Estimated Option Price: $475M–$495M (calculated per formula in MBI operating agreement based on adjusted EBITDA for the 12 months ended June 30, 2025 and net indebtedness).
• Expected MBI net debt at closing: ~$845M–$895M (term loans due Nov 2027).
• Anticipated financing: combination of cash and debt; closing no earlier than Oct 1, 2026, subject to HSR and other customary approvals.
• Other event: Clearwave Fiber (a Cable One JV) signed a merger agreement (Dec 20, 2025) to be acquired by Point Broadband; Cable One will roll its Clearwave equity into Point Holdings and become a minority common equityholder (expected Q2 2026).

Why It Matters
This transaction would give Cable One full ownership of Vyve Broadband, expanding its broadband footprint and customer base. The deal increases Cable One’s near-term funding needs and will bring significant net debt into the combined company, which the company plans to finance with cash and additional borrowings. Investors should note the regulatory and financing conditions required for closing, the sizable assumed indebtedness of MBI, and customary integration and execution risks disclosed by Cable One in the filing.