Qwest Communications founder Philip Anschutz has agreed to sell all but a handful of his remaining shares of the company, according to filings with the federal regulators.
He sold 2.7 million shares outright for $24 million and is receiving a prepayment of $150.5 million from a private contract to sell 20.6 million shares in 2010, according to documents filed Thursday with the Securities and Exchange Commission.
Anschutz is diversifying the holdings of his investment company, said his spokesman, Jim Monaghan.
"It was a business decision that made sense to those involved on the investment side of the company," Monaghan said.
Monaghan said Anschutz has shown his confidence in Qwest's future by structuring the 2010 sales contracts so he shares in the price appreciation.
"It does demonstrate confidence in the company," Monaghan said Friday. "If you didn't think there was growth out there," the deal wouldn't have been set up that way, he said.
Anschutz also is able to defer taxes because the sales aren't complete until the settlement dates.
In recent years Anschutz has broadened his investment from telecommunications, real estate and oil and gas to include entertainment assets, including theaters and sports teams.
Qwest spokeswoman Diane Reberger declined to comment on Anschutz's sales.
The filings said the 2010 sales contract will leave Anschutz with four Qwest shares. That would be the equivalent, after two splits, of a single commemorative share Anschutz owns from Qwest's 1997 IPO, Monaghan said.
Monaghan said he believes that certificate is mounted on a wall of Anschutz's Denver office.
Qwest shares were down 6 cents Friday to close at $8.68 on the New York Stock Exchange. |
