UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
June 30, 2009
Date of report (Date of earliest event reported)
NEW ULM TELECOM, INC.
(Exact name of registrant as specified in its charter)
Minnesota | 0-3024 | 41-0440990 |
(State or other jurisdiction
of incorporation) | (Commission
File Number) | (IRS Employer
Identification No.) |
27 North Minnesota Street
New Ulm, Minnesota 56073
(Address of principal executive offices, including zip code)
(507) 354-4111
(Registrant's telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2):
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT.
On June 30, 2009, New Ulm Telecom, Inc. (“New Ulm”) entered into an Agreement to sell its ownership interests in SHAL Networks, Inc., SHAL, LLC, Direct Communications, LLC and En-Tel Communications, LLC to Iowa Telecommunications Services, Inc. for approximately $1.7 million, subject to specified customary adjustments.
The transaction has been unanimously approved by the Board of Directors of New Ulm and is expected to close in the fall of 2009. The sale of these minority owned investments allow New Ulm to monetize non-core investments. In addition, this transaction will release New Ulm from approximately $5.7 million in loan guarantees to RTFC for loans made to SHAL, LLC and En-Tel Communications, LLC.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.
| Exhibit 99.1 Press Release dated July 2, 2009. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| New Ulm Telecom, Inc. |
|
Date: July 2, 2009 | By | /s/ Bill Otis |
| | Bill Otis
President and Chief Executive Officer |
