CenturyLink could join Windstream in REIT conversion, analysts say

CenturyLink (NYSE: CTL) could follow Windstream into a profitable corporate-tax-law loophole, say analysts, who speculate that the company could be next in line to spin off its wireline assets into a publicly traded real estate investment trust (REIT). Macquarie Research wrote in a research note that CenturyLink is most likely looking closely at how Windstream's new REIT, called Communications Sales and Leasing (CS&L), performs. "We continue to think that CTL is watching WIN closely and could convert its legacy or network business to a REIT later this year," the analysts wrote. "We value CTL on a breakup at $44.65 and in the high $40s for a breakup and REIT conversion." FierceTelecom has a complete look at CenturyLink's potential move into this controversial tax loophole.

Suggested Articles

Streaming TV service FuboTV has expanded its deal with Discovery Inc. and in the coming weeks will add Discovery Channel, TLC and more to its base subscriber…

AT&T’s new DirecTV streaming service, due out later this year, is being packaged with a proprietary Android TV-based streaming device. But, the service…

Comcast is calling on its cable brethren, Charter and Cox, for a new initiative called On Addressability focused on building a “sound, scalable and sustainable…