The parties expect to close the transaction by the end of third quarter 2017, subject to certain regulatory approvals and other customary closing conditions.
#Gtt buys inetwork pro#
GTT expects that Global Capacity’s annualized revenue will be approximately $200 million at close, net of pro forma adjustments, and that the purchase price will reflect a multiple of post-synergy Adjusted EBITDA of 5.0x or lower, with integration and cost synergies to be achieved within two to three quarters after close. The purchase price consists of $100 million in cash and 1.85 million shares of GTT common stock, to be issued to the sellers at closing. “This combination creates one of the most innovative global cloud networking companies in the industry.” Francis Najafi, founder and CEO of Pivotal Group, owner of Global Capacity.
“With this agreement, we are combining two highly complementary organizations with closely aligned core values and operating strategies,” stated F. Together, we anticipate growth and success for our customers, employees, and partners.” “GTT’s global network reach and extensive portfolio of managed services are a compelling complement to our connectivity platform, resulting in substantial benefits for our carrier and enterprise customers. GTT's stock jumped more than 10 percent when the deal. “This transaction further advances the breadth, depth and ease of deploying connectivity services for our customers,” commented Jack Lodge, president of Global Capacity. The company also includes a host of network locations and operating centers across the East Coast of the United States and in Western Europe. After integration, we expect to achieve our previously announced, next financial objectives of $1 billion in revenue and $250 million in Adjusted EBITDA.” “GTT gains new marquee clients, enhanced network reach and scale, and a great team of employees to drive outstanding client experience, through our core values of simplicity, speed and agility. “The acquisition of Global Capacity accelerates GTT’s growth strategy and underscores our commitment to connecting people across organizations and around the world,” said Rick Calder, GTT president and CEO.
commercial addresses, from 41 data centers and 1,750 Central Office points of presence. Expands scale and network reach with last mile connectivity to over 9.6 million U.S. GTTs network consists primarily of leased assets over long-haul routes and connects in over 600 data centers worldwide.Augments GTT’s Managed SD-WAN service with diverse access options, including an extensive on-net Ethernet over Copper infrastructure.Grows GTT’s client base, with the addition of marquee clients in the healthcare, application service provider, retail and carrier markets, adding highly complementary recurring revenue streams.GTT Communications, Inc., the leading global cloud networking provider to multinational clients, announced today a definitive agreement to acquire Global Capacity, a provider of network connectivity solutions that simplifies the process of connecting enterprises to high-value cloud and business destinations.
"This is part of our digital strategy where we are effectively taking network assets fiber network assets in Asia, Europe and the U.S., with the intention of growing them," said Bhandari.McLEAN, Va. In 2017, I Squared Capital bought Hutchison Global Communications, the Hong Kong-based fiber optic company for HK$14.5 billion ($1.9 billion). I Squared Capital said it planned to expand the network to other European cities through investment and add-on acquisitions.įiber-optics are gaining investor interest as wireless providers build out networks for 5G, the next-generation wireless technology. "Even in the middle of the pandemic, globally, we are seeing incredible amounts of bandwidth usage." asset base and it's very resilient," I Squared Capital Managing Partner Gautam Bhandari said in an interview. GTT had been exploring the sale since last year, which it expected to deliver $370 million to $390 million in revenue with comparable earnings before interest, taxes, depreciation and amortization (EBITDA) of $160 million to $180 million.