Fibre network communication company Zayo Group Holdings have completed the acquisition of Neutral Path Communications for USD 31.5 million. With this acquisition, Zayo seeks to expand their business from Minneapolis to Omaha, Denver, Kansas City, Dallas and Chicago in the U.S market.
Zayo say that businesses aiming for broadband expansion are demanding low latency fibers in order to provide high-speed data center services. They also believe that by adding high-count, unique and dark fiber in their offerings, they can bring this vision of broadband expansion to fruition.
Jack Waters, CTO and President of Fiber Solutions at Zayo, felt that acquiring Natural Path provides them with a strategic advantage:
This is another example of executing on our ‘tuck-in’ strategy, acquiring companies that add strategic assets that we can leverage immediately. Based on expressed customer demand, we’re confident we will quickly be able to pursue the robust funnel of sales opportunities and grow the revenue base on these assets.
According to Zayo, the acquisition will also allow their network to function in a way that it will provide easy connectivity to different cities along various routes.
Waters further added:
The acquisition enables us to better connect and support our robust Minneapolis network. Because of the complementary nature of the acquisition, and our Tranzact platform, we can begin cross-selling our full suite of services immediately.