One of the stock market's long-standing tickers, Cincinnati Bell has been public for more than a century. Following a recent acquisition deal, that's all changing as the company plans to go private. President and CEO Leigh Fox will continue to lead the company under the new parent direction.
Of course, this means that Fox will keep cashing in his salary and swelling his net worth, which has grown tremendously since he took his post in 2013.
Cincinnati Bell is going private.
Macquarie Infrastructure Partners has officially signed a deal to acquire Cincinnati Bell for an enterprise value of $2.9 billion. Cincinnati Bell offered its first stock certificate in 1883, but has been in operation since 1873, when it was founded as a telegraph company.
The telecommunications provider will use the acquisition funding to propel its fiber broadband network within the region. This growth and development will impact areas in Ohio, Kentucky, and Indiana.
Going private means that Cincinnati Bell stock, CBB, will be delisted from the NYSE. CBB shares have lost about 90 percent of their value since the start of the new millennium.
CEO Leigh Fox will retain his spot and cash out on stock sale
Fox told reporters that the acquisition won't change Cincinnati Bell's executive footprint, including his own role as CEO. Of course, this means that Fox and others will cash out on the sale of Cincinnati Bell's stock.
The top 16 leaders will split $37 million from the stock sale and "Change in Control" payments. Macquarie will acquire the company's debt and Fox will likely get the largest chunk of that $37 million due to his paramount role.
Based on SEC filings, WCPO reports that Fox is getting an estimated $14.1 million from the deal. Meanwhile, other executives are scoring big as well. Chief Operating Officer Thomas Simpson is getting $3.7 million and General Counsel Christopher Wilson will acquire $3.5 million.
How much does Leigh Fox make from his Cincinnati Bell salary?
Fox makes a reported $1,542,350 annually in salary alone. Of course, this doesn't include stock and options awards. Meanwhile, Fox reports that the new partnership with Macquarie "is tremendous news for Cincinnati Bell’s 4,700 employees, our customers, and the communities we serve," according to a press release. However, Fox's reality doesn't align with his customers' due to his own soaring net worth.
For Leigh Fox, the net worth keeps rolling in.
California-based Corporate reform researcher Rosanna Landis Weaver told reporters, "The most recent award Mr. Fox received in 2019 is worth now, I believe, close to double what it was worth on the day it was granted."
The precise number of Fox's net worth isn't clear. However, he has added about $14 million to his total, and he's racked up about $15 million in salary since he came onto the Cincinnati Bell scene. It wouldn't be irresponsible to suggest a net worth of close to $30 million for Fox as the company's high-value privatizing deal goes through.