LONDON--(BUSINESS WIRE)--Zayo Group Holdings, Inc. (“Zayo”) (NYSE: ZAYO), a leading provider of bandwidth infrastructure and network-neutral colocation and connectivity services, today announced it has entered into a definitive agreement to acquire Viatel’s infrastructure and non-Irish enterprise businesses. Viatel is a wholly owned subsidiary of the Digiweb Group, a full service telecommunications and managed services operator, based in Dublin, Ireland. The purchase price is approximately €95 million.
The Viatel acquisition will provide Zayo with Pan-European intercity and metro fiber capability via an 8,400 kilometer fiber network across eight countries. The transaction will add 12 new metro networks, seven data centers and connectivity to 81 on-net buildings. Two wholly-owned subsea cable systems will provide connectivity on two of Europe’s busiest routes – London-Amsterdam and London-Paris. The Viatel businesses to be acquired are highly aligned with Zayo’s existing product and customer set, including a higher proportion of dark fiber revenue.
“Viatel’s long-haul fiber network and colo assets combined with Zayo’s existing national UK, France and U.S. networks provides truly international, seamless connectivity for Zayo’s existing and new customers,” said Dan Caruso, chairman and CEO of Zayo. “Our Pan-European infrastructure capability addresses new growth opportunities, including connectivity to key subsea cable systems delivering traffic to and from high-growth regions such as Asia and Africa.”
“This transformative acquisition cements Zayo as a leading Pan-European Infrastructure provider and positions Zayo to capture significant organic and inorganic growth in Europe and beyond,” said Karl Maier, president of Zayo International.
“The combination of Zayo and Viatel will provide far greater network reach and growth potential for Viatel’s customers,” said Colm Piercy, CEO of Viatel. “We will continue to offer leading Voice, Data and Hosting solutions in Ireland.”
The all-cash transaction is expected to be funded with cash on hand and to close by the end of the calendar year, subject to customary closing conditions.
For more information about Zayo, please visit www.zayo.com.
About Zayo Group
Zayo Group Holdings, Inc. (NYSE: ZAYO) provides bandwidth infrastructure services, including fiber and bandwidth connectivity, colocation and cloud services 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 87,000-mile network in the U.S. 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 services in its carrier-neutral data centers. Zayo provides clients with flexible, customized solutions and self-service through Tranzact, an innovative online platform for managing and purchasing bandwidth and services. For more information, visit zayo.com.
Viatel is a leading telecommunications company and provides Connectivity solutions tailored specifically for larger Enterprise, Public Sector, Wholesale and Carrier customers throughout Europe. With metro fiber and data centres in Dublin, London, Amsterdam, Frankfurt, Dusseldorf, Paris, Rotterdam, Brussels, Zurich, Lyons, Bordeaux and Marseilles, Viatel also owns over 8,400 km of duct and fiber optic network infrastructure connecting 8 countries, 35 primary cities, 150 data centres and thousands of mid and large-sized enterprises. The company delivers an extensive portfolio of leading data, cloud, managed services and voice solutions through its wholly owned infrastructure, platforms and partner networks, and is a preferred connectivity partner of London Stock Exchange. In addition, it is directly connected to the largest content distribution networks, internet peering exchanges, public cloud platforms, and internet companies globally.
Forward Looking Statements
This press release contains a number of forward-looking statements. Words, and variations of words such as "believe," "expect," "plan," "continue," "will," "should," and similar expressions are intended to identify our forward-looking statements. No assurance can be given that future results expressed or implied by the forward-looking statements will be achieved and actual results may differ materially from those contemplated by the forward-looking statements. These forward-looking statements involve risks and uncertainties, many of which are beyond our control. For additional information on these and other factors that could affect our forward-looking statements, see our risk factors, as they may be amended from time to time, set forth in our filings with the SEC, including our 10-K dated September 18, 2015. We disclaim and do not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation.