Global cloud networking provider, GTT Communications, Inc. (NYSE: GTT), has announced a definitive agreement to acquire Hibernia Networks – a provider of global, “high-speed” network connectivity solutions and owner of terrestrial and subsea fiber assets. This includes Hibernia Express, a “low-latency” transatlantic cable system.
The $590 million transaction consists of $515 million in cash and approximately 3.3 million shares of GTT common stock, to be issued to the sellers at closing, valued at $75 million. The parties expect to close the transaction by the end of first quarter 2017, subject to certain regulatory approvals and other customary closing conditions.
“This acquisition accelerates GTT’s growth strategy by expanding our portfolio of cloud networking services, significantly increasing the scope and power of our global network, and growing our multinational client base,” said Rick Calder, GTT president and CEO. “Hibernia Networks has a demonstrated track record of growth, and brings unique, strategic network assets featuring high-bandwidth, low latency connectivity. We are very excited to welcome Hibernia Networks’ clients and talented team members to GTT.
Global Cloud Services
GTT provides multinationals with “a better way to reach the cloud” through its suite of cloud networking services, including wide-area networking, Internet, managed services and voice services.
Hibernia Networks owns and operates a global network serving more than 100 markets and spanning 25 countries. Hibernia Networks also offers dedicated cloud connectivity, “low-latency” services, DTM and HiberniaCDN – for “seamless anytime, anywhere content delivery.”
“GTT’s acquisition of Hibernia Networks provides great benefit to the entirety of our customer base as well as our two organizations,” said Bjarni Thorvardarson, Hibernia Networks’ chief executive officer (CEO). “GTT gains world class global fiber assets, including ultra-low latency routes between key financial markets, as well as optical, low latency and content services, and exceptional employees with a proven track record of network and commercial leadership, and exemplary customer service. Hibernia Networks clients around the world will benefit from the expansive reach of GTT’s Tier 1 IP network, the broader portfolio of products and services, improved scale, and the company’s expertise in delivering cloud networking solutions and managed services to multinational clients.”