Press Release: Cable One Provides Update on the Pending Purchase of Mega Broadband

Dow Jones
10/12

Company has agreed in principle on material terms with GTCR and other lenders regarding a financing solution

PHOENIX--(BUSINESS WIRE)--October 12, 2026-- 

Cable One, Inc. (NYSE: CABO) ("Cable One" or the "Company") today announced that, on October 9, 2026, the United States District Court for the Southern District of New York entered a temporary restraining order (the "TRO") that temporarily prohibits Cable One from acquiring the 55% of Mega Broadband Investments Holdings LLC ("MBI") that it does not currently own.

The action was commenced by CoBank, ACB, a lender under the Company's existing credit agreement. The complaint alleges that the Company's payment of the MBI purchase price would constitute a constructive fraudulent transfer. CoBank is seeking, among other things, an injunction prohibiting the Company from closing the MBI acquisition.

The TRO was entered prior to any hearing or court appearance by Cable One. The Company strongly believes CoBank's claims are incorrect as a matter of law. Cable One intends to vigorously dispute these claims and protect its interests. However, the Company makes no assurances regarding the timing or outcome of the pending proceedings.

Under the terms of the MBI acquisition agreement Cable One is not obligated to close the transaction if and for so long as any legal restraint to closing is in effect.

As an update to last week's disclosure, Cable One has made substantial progress towards a series of financing transactions with GTCR LLC, certain of its existing lenders and a consortium of leading private lending institutions to address the majority of its forthcoming capital needs. This series of transactions is expected to result in the extension and reduction of the Company's revolving credit facility, settlement of the aforementioned put and the complete paydown of the Company's B-4 term loan. In totality this refinancing is expected to address $2.45 billion of the Company's current obligations and nearest-term debt maturities while providing the Company with liquidity to invest in the business and execute upon its long-term strategic plan. This transaction is subject to resolution of the TRO or any other applicable legal restraint. The Company cautions, however, that no definitive financing agreements have been entered into thus far, and there can be no guarantee that any financing transaction will materialize.

About Cable One

Cable One, Inc. (NYSE:CABO) is a leading broadband communications provider delivering exceptional service and enabling approximately 1 million residential and business customers across 24 states to thrive and stay connected to what matters most. Through Sparklight(R) , the brand our customers know and trust, we're not just shaping the future of connectivity -- we're transforming it with a commitment to innovation, reliability, and customer experience at our core.

Our robust infrastructure and cutting-edge technology don't just keep our customers connected; they help drive progress in education, business, and everyday life. We're dedicated to bridging the digital divide, empowering our communities, and fostering a more connected world. When our customers choose Cable One, they are choosing a team that is always working for them -- one that believes in the relentless pursuit of reliability, because being a trusted neighbor isn't just what we do -- it's who we are.

Forward-Looking Statements

This communication may contain "forward-looking statements" that involve risks and uncertainties. These statements can be identified by the fact that they do not relate strictly to historical or current facts, but rather are based on current expectations, estimates, assumptions and projections about the Company's industry, business, strategy, technologies, acquisitions and strategic investments, market expansion plans, dividend policy, capital allocation, financing strategy, the put option associated with the remaining equity interests in Mega Broadband Investments Holdings LLC ("MBI"), which was exercised on January 2, 2026 (the "Put Option"), the purchase price payable pursuant to the Put Option (such purchase price, the "Put Price"), the anticipated timeline to consummate such transaction, the Company's ability and sources of capital to fund the Put Price, litigation related to the MBI acquisition, MBI's future indebtedness, and the Company's financial results and financial condition. Forward-looking statements often include words such as "will," "should," "anticipates," "estimates," "expects," "projects," "intends," "plans," "believes" and words and terms of similar substance in connection with discussions of future operating or financial performance. As with any projection or forecast, forward-looking statements are inherently susceptible to uncertainty and changes in circumstances. The Company's actual results may vary materially from those expressed or implied in its forward-looking statements. Accordingly, undue reliance should not be placed on any forward-looking statement made by the Company or on its behalf. Important factors that could cause the Company's actual results to differ materially from those in its forward-looking statements include government regulation, economic, strategic, political and social conditions and the following factors, which are discussed in the Company's latest Annual Report on Form 10-K and in its subsequent filings with the Securities and Exchange Commission (the "SEC"), including its latest Quarterly Report on Form 10-Q:

   --  rising levels of competition from historical and new entrants in the 
      Company's markets; 
 
   --  recent and future changes in technology, and the Company's ability to 
      develop, deploy and operate new technologies, service offerings and 
      customer service platforms; 
 
   --  risks associated with the Company's use of artificial 
      intelligence; 
 
   --  the Company's ability to grow its residential data and business data 
      revenues and customer base; 
 
   --  increases in programming costs and retransmission fees; 
 
   --  the Company's ability to obtain hardware, software and operational 
      support from vendors, including the potential impacts of changes in trade 
      policy and tariffs; 
 
   --  risks relating to existing or future acquisitions and strategic 
      investments by the Company, including risks associated with the exercise 
      of the Put Option associated with the remaining equity interests in MBI 
      and the acquisition and integration of MBI; 
 
   --  risks relating to existing or future litigation regarding the Company's 
      acquisition of the equity interests in MBI it does not currently own, 
      including the litigation initiated by CoBank on October 9, 2026; 
 
   --  risks relating to entering into definitive agreements for the 
      contemplated financing transactions on the terms described or at all; 
 
   --  the integrity and security of the Company's network and information 
      systems; 
 
   --  the impact of possible security breaches and other disruptions, 
      including cyber-attacks; 
 
   --  the Company's failure to obtain necessary intellectual and proprietary 
      rights to operate its business and the risk of intellectual property 
      claims and litigation against the Company; 
 
   --  the Company's ability to maintain effective internal control over 
      financial reporting and disclosure controls and procedures; 
 
   --  impairments of intangible assets and goodwill; 
 
   --  legislative or regulatory efforts to impose new requirements on the 
      Company's data services; 
 
   --  additional regulation of the Company's video and voice services or 
      changes to government subsidy programs; 
 
   --  the Company's ability to renew cable system franchises; 
 
   --  increases in pole attachment costs; 
 
   --  changes in local governmental franchising authority and broadcast 
      carriage regulations; 
 
   --  the potential adverse effect of the Company's level of indebtedness on 
      its business, financial condition or results of operations and cash 
      flows; 
 
   --  the restrictions the terms of the Company's indebtedness place on its 
      business and corporate actions; 
 
   --  the possibility that interest rates will rise, causing the Company's 
      obligations to service its variable rate indebtedness to increase 
      significantly; 
 
   --  risks associated with the Company's indebtedness, including the 
      Company's ability to pay dividends on, make distributions in respect of, 
      repurchase or redeem, capital stock; 
 
   --  provisions in the Company's charter, by-laws and Delaware law that 
      could discourage takeovers and limit the judicial forum for certain 
      disputes; 
 
   --  adverse economic conditions, labor shortages, supply chain disruptions, 
      changes in rates of inflation and the level of move activity in the 
      housing sector; 
 
   --  pandemics, epidemics or disease outbreaks, such as the COVID-19 
      pandemic, have, and may in the future, disrupt the Company's business and 
      operations, which could materially affect the Company's business, 
      financial condition, results of operations and cash flows; 
 
   --  lower demand for the Company's residential data and business data 
      products; 
 
   --  fluctuations and/or declines in the Company's stock price; 
 
   --  dilution from equity awards, convertible indebtedness and potential 
      future convertible debt and stock issuances; 
 
   --  damage to the Company's reputation or brand image; 
 
   --  the Company's ability to retain key employees (whom the Company refers 
      to as associates); 
 
   --  the Company's ability to incur future indebtedness; 
 
   --  provisions in the Company's charter that could limit the liabilities 
      for directors; and 
 

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