Data center services and network solutions provider US Signal has been acquired by Igneo Infrastructure Partners, a global infrastructure investment company with over $15 billion in assets. Under normal regulatory clearances, the acquisition is anticipated to completion in the fourth quarter of this year. Financial terms of the acquisition were not disclosed.
US Signal, a Grand Rapids, Michigan-based company, offers network, data center, connectivity, cloud hosting, colocation, data security, and disaster recovery services to regional enterprise clients and major U.S. telecommunications companies. In nine upper Midwest states, the business runs a 9,500 route mile fiber network and eight data centers. There are about 185 people working at US Signal.
“Over the past two decades, US Signal has built an outstanding reputation for its client service and responsiveness, attracting customers in the healthcare, finance and telecommunications sectors that require a high degree of data security and reliability,” said John Ma, partner and co-head of Igneo in North America. “We believe US Signal has substantial growth opportunities and is a great fit for our investment portfolio, which focuses on high-quality, mid-market, core infrastructure businesses and geographic and sector diversification.”
Expand Data Center Presence
US Signal represents Igneo’s first investment in the US telecommunications sector and the fourth asset in North America. Igneo has invested more than $1.5 billion in Terra-Gen, Rialto Bioenergy Facility, and Patriot Rail over the past three years. Patriot Rail most recently announced the acquisition of Pioneer Lines.
“Igneo is an experienced investor that is positioned to support and expand US Signal’s data center presence and fiber network infrastructure to serve our regional enterprise customers,” said Richard Postma, Chairman and CEO at US Signal. “I am confident that the partnership with Igneo will enhance the US Signal experience for existing customers and allow the company to deliver this high standard of excellence to additional customers across our expanding footprint.”
Igneo Infrastructure Partners operates as an independent investment group in the First Sentier Investors Group. In the UK, Europe, North America, Australia, and New Zealand, it makes investments in top-tier, mid-market infrastructure firms. Working closely with portfolio firms since 1994, the team uses innovation and pro-active asset management to build long-term sustainable value.