Consolidated Communications (CNSL) is acquiring FairPoint Communications (FRP), a broadband fiber and managed services provider (MSP), for $1.5 billion in stock. The deal extends Consolidated's fiber coverage to 35,100 miles across 24 U.S. states. The combined companies also boast data center, managed and wireless services.
In a prepared statement, Consolidated CEO Bob Udell said:
“This transaction combines two companies with extensive fiber networks and complementary strategies focusing on being the leading business and broadband solutions provider. This merger positions Consolidated to leverage its extensive product and services portfolio and consultative sales approach across 24 states bringing advanced solutions and a better experience to customers. We are well positioned to ensure a smooth transition for customers and employees as we leverage a solid track record of successful integrations.”
Consolidated and FairPoint: Combined Data Center & Managed Services
FairPoint, based in Charlotte, N.C., has operations in 17 states with the largest network in northern New England. FairPoint's fiber network extends across approximately 21,000 fiber route miles. FairPoint had approximately 2,600 employees and $830 million in revenue for the trailing 12 months ended Sept. 30, 2016.
Consolidated Communications, meanwhile, offers broadband and business communications in 11 states. The company data centers offer such communications solutions as data, voice, video, managed services, cloud computing and wireless backhaul. Consolidated is headquartered in Mattoon, Illinois.
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