Saturday, November 14, 2015

Zayo Group Acquires Viatel's Network Assets In Europe

Zayo Group, a US-based company that provides fiber-based bandwidth infrastructure services and carrier-neutral collocation, has agreed to acquire seven data centers and pan-European network assets of the Ireland-based Viatel for €95 million. Viatel’s Irish assets are not part of this deal.

The deal will add about 5,200 miles of fiber across eight countries, including 12 metro networks and connectivity to 80 buildings to Zayo’s infrastructure and network services. In addition, The company also gains submarine cable systems between London and Amsterdam and between London and Paris.

Dan Caruso, Chairman and CEO of Zayo Group, said in a statement: “Viatel’s long-haul fiber network and colo assets combined with Zayo’s existing national UK, France, and US networks provides truly international, seamless connectivity for Zayo’s existing and new customers”,  “Our Pan-European infrastructure capability addresses new growth opportunities, including connectivity to key subsea cable systems delivering traffic to and from high-growth regions such as Asia and Africa.”

London-based Viatel, a subsidiary of Digiweb Group, is a telecoms operator that provides high speed bandwidth services, dark fiber and colocation to customers with large capacity requirements. In addition to high-speed bandwidth services, Viatel also offers Ethernet, dark fiber and leased line services to national and international telecom operators, internet services providers, virtual network operators and financial service firms. Viatel has a huge presence in Europe, it owns over 8,500 km of fiber optic network connecting 21 cities Western Europe. 

Viatel was acquired by Irish telecom operator Digiweb in 2013. Last year, the company announced plan to invest €125 million in expansion of its data centers operations and fiber infrastructure services. Viatel’s data centers are located in eight European countries: UK, Ireland, France, Germany, Netherlands, Belgium, Switzerland and Italy. 

Boulder, Colorado-based Zayo Group is a publicly traded company that provides data center collocation services in 45 facilities across 30 markets, totalling more than 500,000 square feet. Zayo provides fiber-based bandwidth infrastructure and carrier-neutral collocation services. 

An original survivor of the great dot-com bubble, Zayo has grown primarily through acquisitions, it acquired over 30 companies from 2007-2014, including bankrupt companies such as AboveNet and 360networks. The company’s clients include wireless carriers, national carriers, internet service providers, and enterprise companies and data center operators. 

Image credit: Resolve Systems

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