Zayo Acquires Latisys in $675M Deal
Monica Link Jan. 21, 2015, 3 p.m.
Fiber provider Zayo Group will acquire Latisys Holdings, an Internet infrastructure service provider, in a deal worth $675 million. Zayo will gain control of Latisys’ services, which it provides through eight data centers across four U.S. cities, including Dallas and Chicago, as well as a London-based operation in the United Kingdom.
The deal will boost Zayo’s services to 45 data centers across the United States, France and the United Kingdom.
“Both Latisys and Zayo’s businesses have a great track record of creating value for investors and customers,” Dan Caruso, chairman and chief executive officer of Zayo Group, said in a statement. “The addition of Latisys into Zayo strengthens Zayo’s portfolio of infrastructure services.”
The deal to take over Latisys is the company’s second acquisition this month. On Jan. 6, Zayo announced that it would acquire IdeaTek Systems’ network in Kansas. The deal, worth $52 million, gives Zayo control of 1,800 route miles of IdeaTek’s network.
Zayo has been moving up the ranks among major fiber providers in New York City and around the country. The company’s fiber footprint extends more than 81,500 route miles across the United States and Europe.