Zayo Closes Acquisition of Spread Networks
Zayo Group Holdings, Inc. (“Zayo”) (NYSE: ZAYO) today announced that it has completed the acquisition of Spread Networks, a privately-held fiber network company that operates the most direct, lowest latency fiber route between Chicago and New York. To leverage Spread’s strong brand, unique network and premium customer support, Zayo is introducing a standalone business unit, Spread Networks by Zayo.
“We acquired Spread Networks because of their leadership in ultra low-latency network solutions for the financial and trading sectors,” said Dan Caruso, Zayo’s chairman and CEO. “Spread Networks by Zayo will build on this flagship network, providing customers with additional fiber and microwave options for fast, high-bandwidth connectivity. For customers in finance and other sectors, including content, media and cloud providers, millisecond improvements in network speed can provide a powerful competitive advantage.”
The acquisition immediately enables Zayo to combine Spread Networks routes with Zayo routes for coast-to-coast, low-latency dark fiber and lit fiber-based solutions. As a result, Zayo can now provide a fully owned, low-latency wavelength route from Seattle to New York. Traffic to and from Asia, which connects through cable landing stations in the Pacific Northwest, are also express connected via the combination of Zayo existing fiber routes and the Spread Networks route.
Members of the Spread Networks team will join the Zayo team under the leadership of Brandon Gouin, General Manager of Spread Networks by Zayo. Spread Networks by Zayo will be reported under the Fiber Solutions business segment.
Zayo acquired Spread Networks for $127 million in cash. Zayo expects to reach $10.5 million in annualized EBITDA from the Spread acquisition by the September 30, 2018 quarter through cost synergies and organic growth.
For more information about Zayo, please visit zayo.com.
About Zayo Group
Zayo Group Holdings, Inc. (NYSE: ZAYO) provides communications infrastructure solutions, including fiber and bandwidth connectivity, colocation and cloud infrastructure to the world’s leading businesses. Customers include wireless and wireline carriers, media and content companies and finance, healthcare and other large enterprises. Zayo’s 127,000-mile network in North America and Europe includes extensive metro connectivity to thousands of buildings and data centers. In addition to high-capacity dark fiber, wavelength, Ethernet and other connectivity solutions, Zayo offers colocation and cloud infrastructure in its carrier-neutral data centers. Zayo provides users with flexible, customized solutions and self-service through Tranzact, an innovative online platform for managing and purchasing bandwidth. For more information, visit zayo.com.
Forward Looking Statements
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