GTT completes $590m Hibernia Networks acquisition
10 January 2017 | Jason McGee-Abe
GTT Communications has added strategic fibre assets and extended its global network with the completion of the $590 million acquisition of Hibernia Networks.
Through the deal, first announced in November, the global cloud networking provider gains terrestrial and subsea fibre assets, including Hibernia Express, and GTT expects to complete the integration of both companies’ operations within two to three quarters after closing.
“The addition of Hibernia Networks advances GTT’s growth strategy,” stated Rick Calder, GTT president and CEO. “The transaction expands GTT’s top five global IP network, adds products to our cloud networking portfolio and provides a strong recurring revenue base via established relationships with multinational clients. Our clients will also benefit from a team with deep technical expertise and a proven track record of delivering exceptional client service.”
The acquisition delivers the following assets:
• Five subsea cables, including Hibernia Express, the lowest latency transatlantic cable system, and eight cable landing stations;
• New global points of presence, expanding GTT’s Tier 1 IP network to over 300 in total;
• Optical and low latency transport, video and CDN services; and
• Key relationships with marquee clients, specifically within the financial services, media and entertainment, web-centric and service provider segments.
Bjarni Thorvardarson, CEO of Hibernia Networks, added: “We are profoundly grateful for the support of our investors, loyalty of our customers, and dedication of our talented employees, in building a company that has positively impacted a global telecommunications market that demands leading-edge network solutions. Hibernia Networks’ high performance fibre-optic network, product capabilities, human talent and segment expertise are a compelling complement to GTT. The combined company will provide substantial benefits to customers.”
In H2 2016, GTT launched four new points of presence (PoPs) across the US, was picked by Telnyx to deploy IP and Ethernet services, boosting network connectivity with Telnyx’s PoPs worldwide, and signed a mutual global partnership with PLDT.
Hibernia Networks has also expanded its presence in Fiber Center’s point of presence (PoP) in Moncton, New Brunswick, Canada.