Zayo Group has completed its $18.9 million acquisition of Texas-based Clearview International, bolstering its data center holdings with an additional 30,000 square feet of colocation space.
Clearview currently operates two data centers, located at 6606 LBJ Freeway in Dallas and 700 Austin Avenue in Waco, Texas.
Funded with Zayo's cash on hand, the company said the Clearfield acquisition will contribute over $2 million in incremental annualized adjusted EBITDA, before the benefit of any realized cost synergies.
With Texas being a growing market for Zayo, the Clearview deal builds on the 66,000 square feet of Dallas data center capacity Zayo acquired at 1100 Empire Central Place at the end of December 2015.
The interplay between data center and fiber-based services continues to be a key demand Zayo is seeing in the Dallas-Fort Worth metro area.
Zayo said that it is seeing growing demand resulting from the interplay between data center and fiber needs across all of its markets with particular growth in the greater Dallas-Fort Worth metropolitan area.
In the Dallas area, the hybrid demand has benefited from a 2,000 route mile fiber-to-the-tower deployment announced in May 2015 for a major wireless operator. Since that FTTT deal was consummated, a global SaaS provider signed a contract to access colocation in Zayo's Dallas Empire Central facility plus four diverse 10G wavelengths tethering to a Zayo presence in the primary Dallas carrier hotel.
The service provider also won a $15.6 million, 12-year contract by the City of Fort Worth, Texas, to supply it with dark fiber service to satisfy the growth of its network.
By acquiring Clearfield, Zayo now owns and operates seven data centers in Texas, and a total 57 facilities throughout North America and Europe. Zayo's fiber backbone in Dallas is over 3,500 miles, including the FTTT project. Additionally, Zayo's Phoenix-Dallas long haul fiber build will provide another connectivity option between Dallas and Waco. This network enables Zayo to interconnect the new Clearview data centers to Zayo's key points-of-presence (POPs) in its other Texas data centers, including 1950 North Stemmons Freeway in Dallas (Infomart) and 1301 Fanning in Houston.
- see the release
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