Fibertech has confirmed that its investors Nautic Partners and Ridgemont Equity Partners are selling the company for $500 million to Court Square.
According to the terms of the deal, which the companies say will be completed in the second half of this year after meeting customary closing conditions and regulatory approvals, Court Square will acquire Fibertech from its original investors, Nautic Partners and the team at Ridgemont Equity Partners. Already, the agreement has gotten the approval of both the Fibertech and the Court Square Capital Partners board of directors.
Court Square will fund the deal through a combination of equity contributed by investment funds managed by Court Square in addition to investment from FiberTech's senior management and debt.
Overall, Court One's acquisition does not change the management or employee structure. Current President and CEO of Fibertech John Purcell and Fibertech Networks founder and COO Frank Chiaino, will remain with the company in their current roles. Additionally, the rest of the senior management team will remain at the company.
Hailing the deal as the "next stage of growth for Fibertech," Purcell said becoming part of Court One will give it the "flexibility to grow and expand our business with the support of a partner who has a long history of investment in the telecom and technology space, and of investing in profitable companies with strong growth potential."
This latest deal confirms rumors that Fibertech along with other regional fiber-centric providers Kentucky Data Link (KDL) and Alpheus were all up for sale. Court Square's acquisition of Fibertech follows Windstream's (Nasdaq: WIN) purchase of Q-Comm, one that includes KDL and competitive carrier Norlight Communications.
- see the release here
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