Form 4: Frontier Director Cashes Out Shares Post-Verizon Merger

Frontier Communications Director Margaret Mary Smyth disposed of all her common stock and restricted stock units following the company's merger with Verizon Communications, receiving $38.50 per share.

Summary

• Margaret Mary Smyth, a Director of Frontier Communications Parent, Inc. (FYBR), reported changes in her beneficial ownership.
• The transactions occurred on January 20, 2026, following the consummation of a merger agreement dated September 4, 2024.
• Frontier Communications Parent, Inc. merged with France Merger Sub Inc., a wholly-owned subsidiary of Verizon Communications Inc., with Frontier surviving as a wholly-owned subsidiary of Verizon.
• At the effective time of the merger, each outstanding share of Frontier common stock was automatically converted into the right to receive $38.50 in cash per share.
• All outstanding restricted stock units (RSUs) held by Ms. Smyth vested and were canceled, with the holder entitled to receive cash equal to the number of underlying shares multiplied by $38.50.
• Ms. Smyth disposed of 15,729 shares of common stock and 21,756 shares related to RSUs.
• Following these transactions, Ms. Smyth's beneficial ownership of Frontier common stock is 0 shares.

Sentiment

Score: 7

Explanation: The filing reports the expected outcome of a merger, where a director's shares and RSUs were converted to cash. This is a standard, pre-determined event following an acquisition, providing liquidity to the insider.

Positives

• The reporting person received a cash payout for all her common stock and vested restricted stock units at $38.50 per share.
• The merger provided a clear exit strategy and liquidity for shareholders at a defined price.

Negatives

• Frontier Communications Parent, Inc. is no longer an independent publicly traded entity, becoming a wholly-owned subsidiary of Verizon Communications Inc.
• The reporting person no longer holds any beneficial ownership in the company.

Future Outlook

The filing does not provide forward-looking statements for Frontier Communications as it is now a wholly-owned subsidiary of Verizon. The future outlook for the combined entity would be covered by Verizon's filings.

Industry Context

This transaction represents the finalization of a significant consolidation event in the telecommunications industry, where a major player, Verizon, acquired Frontier Communications. Such mergers often lead to increased market concentration and potential synergies for the acquiring company.

Comparison to Industry Standards

• The cash-out of shares and restricted stock units at a predetermined price following a merger is a standard procedure for public company acquisitions.
• The $38.50 per share price would have been negotiated as part of the merger agreement, reflecting market conditions and valuation at the time of the agreement. No specific comparable companies or projects are mentioned in this Form 4.

Stakeholder Impact

• Shareholders of Frontier Communications received a cash payment of $38.50 per share, providing liquidity and a defined return on their investment.
• The company's status as an independent public entity ceased, impacting its former public shareholders.

Key Dates

Keywords

Frontier Communications, FYBR, Verizon Communications, Merger, Acquisition, Insider Trading, Form 4, Beneficial Ownership, Director, Stock Disposal, Restricted Stock Units, Cash Payout