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What Will Fiber Optic Network Owner Zayo’s Acquisition by Private Equity Mean for Broadband?

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BROADBAND BREAKFAST INSIGHT: Many fiber-focused companies in the U.S., and overseas, have turned to private equity investors instead of the public markets. What the public company Zayo’s acquisition mean for the industry? Steven Blum takes a stab at his prognostication. One can only hope that it bodes well: Zayo is a key middle-mile ingredient for innovative fiber companies seeking to deploy gigabit connectivity more broadly.

Zayo, a major fiber optic network owner, sold to private investors, from Steven Blum’s Blog at Tellus Venture Associates:

Zayo announced yesterday that it had “a definitive merger agreement to be acquired by affiliates of Digital Colony Partners and the EQT Infrastructure IV fund”. The $8.2 billion deal takes Zayo off the New York Stock Exchange and puts it in the hands of owners who might have the patience to play the long game against the monopoly-model telcos – AT&T, Verizon and CenturyLink, particularly – who control the lion’s share of long haul and metro fiber in the U.S.

Might.

In the statement announcing the deal, the head of Digital Colony, Mark Ganzi, at least spoke encouraging words. He said Zayo “has a unique opportunity to meet the growing demand for data associated with the connectivity and backhaul requirements of a range of customers”. That’s true enough, and if – if – Ganzi is sincere it would indicate that his Plan A is to make Zayo a stronger competitor, rather than flipping it as quickly as possible to one of the big players.

[more…]

Source: Zayo, a major fiber optic network owner, sold to private investors | Steve Blum’s Blog

Drew Clark is the Editor and Publisher of BroadbandBreakfast.com and a nationally-respected telecommunications attorney at The CommLaw Group. He has closely tracked the trends in and mechanics of digital infrastructure for 20 years, and has helped fiber-based and fixed wireless providers navigate coverage, identify markets, broker infrastructure, and operate in the public right of way. The articles and posts on Broadband Breakfast and affiliated social media, including the BroadbandCensus Twitter feed, are not legal advice or legal services, do not constitute the creation of an attorney-client privilege, and represent the views of their respective authors.

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BROADBAND BREAKFAST INSIGHT: Many fiber-focused companies in the U.S., and overseas, have turned to private equity investors instead of the public markets. What the public company Zayo’s acquisition mean for the industry? Steven Blum takes a stab at his prognostication. One can only hope that it bodes well: Zayo is a key middle-mile ingredient for innovative fiber companies seeking to deploy gigabit connectivity more broadly.

Zayo, a major fiber optic network owner, sold to private investors, from Steven Blum’s Blog at Tellus Venture Associates:

Zayo announced yesterday that it had “a definitive merger agreement to be acquired by affiliates of Digital Colony Partners and the EQT Infrastructure IV fund”. The $8.2 billion deal takes Zayo off the New York Stock Exchange and puts it in the hands of owners who might have the patience to play the long game against the monopoly-model telcos – AT&T, Verizon and CenturyLink, particularly – who control the lion’s share of long haul and metro fiber in the U.S.

Might.

In the statement announcing the deal, the head of Digital Colony, Mark Ganzi, at least spoke encouraging words. He said Zayo “has a unique opportunity to meet the growing demand for data associated with the connectivity and backhaul requirements of a range of customers”. That’s true enough, and if – if – Ganzi is sincere it would indicate that his Plan A is to make Zayo a stronger competitor, rather than flipping it as quickly as possible to one of the big players.

[more…]

Source: Zayo, a major fiber optic network owner, sold to private investors | Steve Blum’s Blog

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AT&T To Spin Out WarnerMedia, California’s $7B For Broadband, FCC Licences For Tribes, TPRC Virtual For Now

AT&T spins out WarnerMedia, California putting $7B in broadband, tribal lands get licences, and TPRC events virtual for now.

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BROADBAND BREAKFAST INSIGHT: Many fiber-focused companies in the U.S., and overseas, have turned to private equity investors instead of the public markets. What the public company Zayo’s acquisition mean for the industry? Steven Blum takes a stab at his prognostication. One can only hope that it bodes well: Zayo is a key middle-mile ingredient for innovative fiber companies seeking to deploy gigabit connectivity more broadly.

Zayo, a major fiber optic network owner, sold to private investors, from Steven Blum’s Blog at Tellus Venture Associates:

Zayo announced yesterday that it had “a definitive merger agreement to be acquired by affiliates of Digital Colony Partners and the EQT Infrastructure IV fund”. The $8.2 billion deal takes Zayo off the New York Stock Exchange and puts it in the hands of owners who might have the patience to play the long game against the monopoly-model telcos – AT&T, Verizon and CenturyLink, particularly – who control the lion’s share of long haul and metro fiber in the U.S.

Might.

In the statement announcing the deal, the head of Digital Colony, Mark Ganzi, at least spoke encouraging words. He said Zayo “has a unique opportunity to meet the growing demand for data associated with the connectivity and backhaul requirements of a range of customers”. That’s true enough, and if – if – Ganzi is sincere it would indicate that his Plan A is to make Zayo a stronger competitor, rather than flipping it as quickly as possible to one of the big players.

[more…]

Source: Zayo, a major fiber optic network owner, sold to private investors | Steve Blum’s Blog

Continue Reading

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Lina Khan continues bid for lead on FTC

BROADBAND BREAKFAST INSIGHT: Many fiber-focused companies in the U.S., and overseas, have turned to private equity investors instead of the public markets. What the public company Zayo’s acquisition mean for the industry? Steven Blum takes a stab at his prognostication. One can only hope that it bodes well: Zayo is a key middle-mile ingredient for innovative fiber companies seeking to deploy gigabit connectivity more broadly.

Zayo, a major fiber optic network owner, sold to private investors, from Steven Blum’s Blog at Tellus Venture Associates:

Zayo announced yesterday that it had “a definitive merger agreement to be acquired by affiliates of Digital Colony Partners and the EQT Infrastructure IV fund”. The $8.2 billion deal takes Zayo off the New York Stock Exchange and puts it in the hands of owners who might have the patience to play the long game against the monopoly-model telcos – AT&T, Verizon and CenturyLink, particularly – who control the lion’s share of long haul and metro fiber in the U.S.

Might.

In the statement announcing the deal, the head of Digital Colony, Mark Ganzi, at least spoke encouraging words. He said Zayo “has a unique opportunity to meet the growing demand for data associated with the connectivity and backhaul requirements of a range of customers”. That’s true enough, and if – if – Ganzi is sincere it would indicate that his Plan A is to make Zayo a stronger competitor, rather than flipping it as quickly as possible to one of the big players.

[more…]

Source: Zayo, a major fiber optic network owner, sold to private investors | Steve Blum’s Blog

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