Lumos Networks (LMOS) to Acquire Clarity Communications Group

November 9, 2016 8:12 AM EST

Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.

Lumos Networks Corp. (“Lumos Networks”) (NASDAQ: LMOS), a leading fiber-based service provider in the mid-Atlantic region today announced it signed a purchase agreement to acquire Clarity Communications Group (“Clarity”), which operates a 730 mile fiber network with 75 on-net locations located across four states in the south-eastern United States. The vast majority of Clarity’s operations and fiber mileage is in the state of North Carolina.

Timothy G. Biltz, CEO of Lumos Networks said, “I am excited to announce our acquisition of Clarity Communications, which we expect to close in the first quarter of 2017. We believe this transaction will be accretive on an Adjusted EBITDA basis on day one and demonstrates a disciplined approach to efficiently expand our fiber footprint into both new markets and verticals.”

Mr. Biltz continued, “Clarity, led by founders Todd Peverall and Andy Carwile, gives us an instant foothold within the Carrier and Enterprise verticals in many high growth North Carolina markets and gives us a new sales channel into various government end markets, including military installations and e-rate. Clarity will be a contributing factor in Lumos achieving the necessary scale needed to become a pure play fiber bandwidth infrastructure company.”

“We are enthusiastic about becoming part of the Lumos team as they continue their transformation towards a pure-play fiber company,” said Todd Peverall, President of Clarity Communications. “Our team is motivated to continue to grow our North Carolina fiber business and we see numerous opportunities to utilize our expertise within the government space across the entire 9,200 fiber mile Mid-Atlantic footprint.”



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In






Related Categories

Corporate News, Hot Corp. News, Management Comments, Mergers and Acquisitions

Related Entities

Earnings, Definitive Agreement

Add Your Comment