Metro Optical provides managed network, data, and internet solutions to enterprise and carrier customers around the world. The company has positioned itself as a single-source provider of fiber-based networking solutions.
The addition of Metro Optical expands Momentum’s capabilities and solution portfolio, according to the company.
The deal is also in keeping with the company’s long-term growth strategy, according to Momentum Telecom CEO Todd Zittrouer. "We welcome the Metro Optical team to the Momentum Family and look forward to working together on our mission to become the premier provider of unified communications to enterprise customers," he said.
Indeed, Momentum seems keen on buying up companies that provide high-touch, white glove service. This deal follows a similar acquisition by Momentum in late December, when the company acquired Phoenix, Arizona-based CloudNet Group, a provider of cloud voice, mobility, SD-WAN, contact center, and other unified communications solutions.
That deal was similarly seen to expand Momentum’s capabilities.
Momentum, founded in 2001, generated around $99.3 million in revenue for 2017, the company’s most recently reported fiscal year. The firm had about 391 employees at the end of that year, according to the annual Inc. 5000 list for 2018, which tracks America’s fastest-growing privately held companies.
There was no word on how this latest acquisition might affect the company headcount.
Court Square Capital Partners made a majority investment in Momentum in July 2018.
Unified Communications M&A
The unified communications sector has shown to be an attractive M&A target in the last year. It’s no wonder given that more enterprises are transitioning from legacy phone services to VoIP and cloud-driven solutions, driving vendors and investors to double down on the market with monthly subscription services.
ChannelE2E has tracked a number of deals, including:
- February 2019: Los Angeles, California-based unified communications (UC) company TPx Communications went public following a merger with Pensare Acquisition Corp. in a $343 million deal.
- June 2018: SKC Communication Products bought unified communication and collaboration solutions provider GBH Communications.
- April 2018: An investment group led by Searchlight Capital Partners paid $2 billion in cash for Mitel.
- February 2018: LogMeIn acquired Jive Communications for $342 million in cash and up to $15 million in future considerations.
- September 2017: Intermedia acquired AnyMeeting.