Cable One faces court order blocking MBI acquisition
- Cable One (NYSE:CABO) received a temporary restraining order preventing it from acquiring the remaining 55% of Mega Broadband Investments Holdings while a legal dispute continues.
- The court action was filed by CoBank, ACB, which alleges the MBI purchase payment could represent a constructive fraudulent transfer.
- Cable One said it is disputing the claims and has made progress toward financing transactions addressing $2.45 billion of obligations.
Cable One (NYSE:CABO) said the U.S. District Court for the Southern District of New York entered a temporary restraining order on October 9, 2026, blocking the company from completing the purchase of the 55% of Mega Broadband Investments Holdings LLC (MBI) that it does not currently own.
The legal action was started by CoBank, ACB, a lender under Cable One’s existing credit agreement, with the complaint seeking to prevent the company from closing the MBI acquisition.
Cable One said it believes CoBank’s claims are incorrect as a matter of law and plans to challenge the allegations, while noting that the acquisition agreement does not require closing while a legal restraint remains in place.
The company said it has advanced discussions with GTCR LLC, existing lenders, and private lending institutions on financing transactions that could extend and reduce its revolving credit facility, settle the related put obligation, and repay its B-4 term loan.
Cable One provides broadband, data, and connectivity services across the United States, with the company focused on managing its capital structure and executing its long-term business strategy.
