Windstream (WIN) is an independent telecommunications giant born out of a strategic merger between former Alltel Corporation‘s landline business, and Valor Communications Group. The union was forged in 2006 in a multi-faceted deal valuing over $9 billion.

The merger was well planned, as it not only impacted the market, opening up the rural focused areas, but it also provided value, making the newly formed player, Windstream, a hot commodity with a customer base of 3.4 million spanning over 16 states. This launched Windstream into the mix as an independent telecommunications provider right up there with the big boys like Sprint (S), AT&T (T) and Verizon (VZ).

In spite of the line-up, Windstream’s financial savvy gave it a definite edge and positioned it in a sweet spot serving as a catalyst for further growth and expansion. Based on the dividend yield, the Windstream stock became extremely appealing to investors. The new entity, armed with the flexibility and financial leverage of its predecessors, took advantage of future acquisitions and business development opportunities. Just six years later, it’s continued to gain ground with services that far exceed that of local and wireless phone services. The company has reported more than $6 billion in annual revenues since its inception and is listed on the S&P 500 index.

In the 1990s, telecommunication providers responded to the market demand for increased flexibility and secure remote accessibility that would allow companies to extend their business reach. Formerly used point-to-point data circuits were replaced by more cost effective virtual private network services.To continue reading, click here.