AT&T To Create Standalone Managed Cybersecurity Services Business; Will Retain An Ownership Stake And Board Representation In The New Entity; Expects The Transaction, Which Is Subject To Regulatory Reviews And Customary Closing Conditions, To Close In Q1
Portfolio Pulse from Benzinga Newsdesk
AT&T plans to establish a standalone managed cybersecurity services business, retaining an ownership stake and board representation. The transaction is subject to regulatory reviews and customary closing conditions, with an expected closure in Q1.
November 17, 2023 | 2:44 pm
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AT&T is creating a new standalone cybersecurity services business, keeping an ownership stake and board representation. The deal is expected to close in Q1, subject to regulatory approvals.
The creation of a standalone cybersecurity business could be seen as a strategic move to unlock value and focus on core competencies, which may be viewed positively by investors. The retention of an ownership stake and board representation indicates AT&T's ongoing commitment to the business, suggesting potential future benefits. However, the impact is somewhat uncertain until regulatory approvals are granted and the final terms of the transaction are known.
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