Private equity

It’s been over a year since AT&T and investment firm Blackrock established their Gigapower joint venture to build open access fiber networks and set a goal of reaching 1.5 million locations within 18 months. Until now, the company has made relatively few moves on that front.

Consolidated Communications is one step closer to taking its company private, as shareholders approved the proposed $3.1 billion acquisition by Searchlight Capital Partners and British Columbia Investment Management Corporation (BCI). Approximately 75% of Consolidated’s shareholders voted yes on the private equity deal, which is expected to close by the first quarter of 2025.

AccessParks—which provides broadband connectivity to RV parks, national and state parks, and manufactured housing communities—received additional funding from M/C Partners, a private equity firm focused on the digital infrastructure and technology services sectors. The amount of the investment was not disclosed, but was described as “significant.” AccessParks’ campground division provides outdoor connectivity using fiber-optic, microwave, 5G, and Wi-Fi services.

NOVOS FiBER publicized itself with an announcement that Arlington (TX)will soon have a new broadband provider. NOVOS FiBER was founded in 2022, funded by InLight Capital, a private investment firm based in Sugar Land (TX). NOVOS Fiber is entering both the retail and wholesale markets and plans to serve a “significant number” of homes over the next two years. First focusing on Texas, NOVOS will eventually expand beyond state lines. Founder and CEO Andrew Snead said he and the company have a strong conviction to go against the grain of the “internet service is primarily a utility” mentality.

Oak Hill Capital has made yet another investment in telecommunications, announcing its acquisition of Florida-based fiber-to-the-home provider Wire 3 from Guggenheim Investments. The price was not disclosed. Oak Hill Capital has committed to invest up to $250 million out of its sixth flagship fund to accelerate the expansion of Wire 3’s fiber network in underserved communities across Florida. Wire 3’s existing management team members will continue leading the business, now as shareholders. Wire 3 provides symmetrical internet speeds of up to 10 Gigabits per second (Gbps).

Consolidated Communications filed a letter to shareholders, asking them to vote for the company’s proposed acquisition by Searchlight Capital Partners and British Columbia Investment Management Corporation (BCI).

When it comes to the technological advances that have graced our ever-expanding, ever-crowded, ever-exploitative prisons, observers rightly tend to point out the insidious panopticon they’ve enabled: sophisticated surveillance and security networks that ensnare the lives of nearly 2 million people locked up throughout the United States. But the technology that prisoners themselves use and depend on is frequently overlooked.

Many internet service providers (ISPs) who operate mature fiber networks have been recently approached to sell their businesses to buyers who want to roll up and amass multiple fiber networks into a larger business. I know fiber network owners who are being offered prices for their business that they never expected. I’ve heard of offers at a multiple in the range of twenty times adjusted earnings. High multiples are a sure sign of plans for rolling up many ISPs into a larger business.

Jonesboro, Arkansas-based Ritter Communications continues to build on its legacy of serving underserved communities by aggressively deploying fiber in its four-state footprint across Arkansas, Missouri, Tennessee and Texas. This rapid deployment has been funded by a variety of sources, including support from private equity partner Grain Management and the Ritter family, bank loans, and American Rescue Plan Act-funded state grants for broadband deployment.

President Joe Biden announced what he called a “big step” toward internet for all, rolling out a $42 billion investment to deliver broadband to unserved and underserved communities. “With this funding, along with other federal investments, we’re going to be able to connect every person in America to reliable high-speed Internet by 2030,” President Biden said of the funds, allotted through the Infrastructure Investment and Jobs Act.