The stock price of Centurylink dropped by more than 12.5% following the announcement while Level 3 stock went up more than 4%. The deal is expected to close by the 3rd querter of 2017.
The current CEO of Centurylink will be in charge of the combined company while Level3’s CFO will serve as its CFO. Centurylink has acquires multiple companies over the last years in a bid to withstand growing competition in the landline industry. Examples are Sprint and Qwest.
The impact on the CDN business of Level3 is unclear at this point.