Meridian Capital Hosts Webinar on Mid-Term Report for All RDOF Recipients
Published January 16, 2025
An important industry briefing was held for service providers receiving funds under the Federal Communications Commission (FCC) Rural Digital Opportunity Fund (RDOF) program and other interested professionals and investors.
WASHINGTON, D.C. – December, 2024 – In December two industry trade groups, NTCA and WISPA, brought together a panel of experts in a webinar to address the ongoing deployment of high-speed broadband networks reaching locations designated under the Rural Digital Opportunity Fund program. As the six-year build cycle is approaching mid-term, the webinar addressed threats and opportunities operators face in successfully completing their RDOF obligations.
Steve Coran, WISPA General Counsel and head of Lerman Senter’s Broadband, Spectrum, and Communications Infrastructure practice group, along with Carol Mattey, former FCC Deputy Chief of the Wireline Competition Bureau and policy advisor to the National Telecommunications and Information Administration, provided an in-depth review of the strategic directions ISPs have open to them.
Steve and Carol discussed the mechanics of default and various solutions to remedy, including transfer of RDOF obligations and the potential for FCC allowing, in certain circumstances, extended deployment time and the utilization of technology that was not in the original grant application.
Jim Stegeman is the President/CEO of CostQuest Associates. Contracted by the FCC and NTIA, CostQuest is the official and only provider of the National Broadband Serviceable Location Fabric dataset for the Broadband Data Collection (BDC), the Broadband, Equity, Access, and Deployment (BEAD), and other federal broadband programs available today and in the future.
Jim presented a detailed look at the contrasts between ISP RDOF business plan assumptions at the program’s inception and how those assumptions have changed greatly in the present. New data is provided on take rates, construction costs, competition and the impact of BEAD, all pointing to the need for a fresh, expert look at current challenges, opportunities and best solutions to ensure RDOF success.
Pete Sokoloff, Senior Advisor for Telecommunications for investment bank, Meridian Capital, described lessons learned from guiding multiple RDOF and CAF II recipients through the M&A process.
Reviewing valuation principles and how an RDOF award can either contribute or detract from value, Pete cited the importance of developing a high level of confidence in the RDOF plan between a buyer and a seller.
Correctly identifying strategic benefits can result in a considerably higher purchase price for the seller, increased profitability for the buyer and strong FCC confidence that the RDOF deployment will be completed on time, with every location well served.
The webinar addressed these topics:
- What are some methods to prevent default and successfully achieve RDOF goals?
- How can we leverage remaining RDOF funds post-build?
- How is RDOF due diligence accomplished in an M&A or financing transaction?
- What is the value of RDOF awards in an M&A transaction?
- What are the key considerations to be aware of regarding swapping and selling RDOF locations?
- Can I meet RDOF requirements with technology not stated in my FCC application?
- Will the FCC’s revision of required RDOF location counts by year six materially impact deployment plans?
The webinar may be viewed in its entirety at RDOF Mid-Term Report: Multiple Pathways to Success.
More Information:
Pete Sokoloff, Senior Advisor for Telecommunications at Meridian Capital
psokoloff@meridianib.com | (818) 442-4741
For more information, please contact:
About Meridian Capital
Meridian Capital LLC is a leading independent middle market M&A advisory firm with locations in Seattle, Salt Lake City, the Bay Area, and Portland. Meridian has served as a trusted advisor to business owners on complex corporate finance, M&A and strategic challenges for over 29 years. The firm differentiates itself through its deep industry insights, highly customized service approach, and end-to-end commitment to execution. With a unique combination of financial, transactional, and operational professionals on your side, Meridian offers the depth and breadth of experience required to serve leading middle market companies in multiple sectors including aerospace defense & space, food, beverage & agribusiness, business services, consumer, diversified industrials, engineering & construction, building products, technology, and telecommunications. Meridian also offers clients unparalleled cross-border capabilities through its REACH M&A Partners network.
