Zayo Closes Acquisition of Spread Networks
New business segment, Spread Networks by Zayo, focuses on premium ULL
and low-latency networks
BOULDER, Colo. –
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
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
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 August 22, 2017. 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
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Zayo Group Holdings, Inc.