CenturyLink, Level 3 Communications Spike On Merger Talks

Shares of Centurylink Inc CTL and Level 3 Communications, Inc. LVLT are spiking on Thursday, following reports saying the companies are in advanced merger talks.

According to The Wall Street Journal, People familiar with the issue have suggested a deal could be announced in the next few weeks, but could not provide any details on the terms of the transaction.

If the merger were completed, the combined telecom/networking company would boast a combined market cap of roughly $34.5 billion.

Back in July, an industry source told Benzinga that Level 3 was evaluating strategic alternatives aimed at maximizing shareholder value. Among the options were a large share buyback and an outright sale, the person added.

CenturyLink traded recently at $30.55, up 8 percent. level 3 was up more than 11 percent at $52.33.