Everstream Announces Agreement to Acquire Assets of Great Lakes Comnet and Comlink
Acquisition would create 9,000-mile Midwest fiber powerhouse
Cleveland, Ohio and East Lansing, Michigan – February 1, 2016
(February 1, 2016) – Ohio-based fiber network operator Everstream Solutions, LLC (Everstream) has signed an Asset Purchase Agreement to acquire the assets of Great Lakes Comnet and Comlink (GLC), a Michigan-based fiber network operator and provider of network and cloud services. The transaction would add more than 6,500 route miles of fiber to Everstream’s footprint, which consists of a 2,500 route mile fiber network that provides access to more than 800 service locations, including data centers, telco hotels and wireless towers.
“This potential acquisition would allow Everstream to continue our aggressive growth strategy, and deliver on our commitment to serving local businesses with local networks,” said Brett Lindsey, President & Chief Executive Officer of Everstream. “The addition of the GLC fiber footprint would provide an outstanding platform for ongoing expansion.”
GLC voluntarily filed under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court on January 25, 2016. “The structure of this transaction provides us with the opportunity to protect the valuable assets of our company, and provide a path to future success in conjunction with Everstream,” said John Summersett, CEO of Great Lakes Comnet.
GLC is being supported through its Chapter 11 process with a stalking horse bid from Everstream. “The Chapter 11 process is the best means for the company to affect a meaningful restructuring of its liabilities, and to allow the company to continue operating and providing superior services to its customers while working to propose a restructuring plan beneficial to all parties involved,” Everstream’s Lindsey said.”
To facilitate the proposed transaction with GLC, Everstream has secured commitments for $70 million from its existing equity investors and senior debt lead by Webster Bank’s TMT practice. In October 2015, Everstream closed on a $50-million investment from Boston-based M/C Partners, investors advised by the Private Equity Group of J.P. Morgan Asset Management and Morgan Stanley Alternative Investment Partners.
GLC emphasized that the Chapter 11 filing will not affect the company’s on-going operations. The company plans to conduct business as usual throughout the Chapter 11 process, while reducing certain costs that previously resulted in monthly operating losses. GLC will continue to provide its customers with the highest quality services during this restructuring process.
Everstream is a Cleveland based network service provider bringing fiber-based Ethernet, Internet and data center solutions to businesses throughout Northeast Ohio. We focus on delivering best-in-class network solutions while providing an unrivaled commitment to customer service. With over 2500 miles of fiber across 24 counties and comprehensive data center connectivity at 10 Gigabit speed, we provide the fastest network in the region. Everstream’s network allows businesses to operate a converged IP network capable of delivering robust voice, video, and data services at speeds from 10 mb/s to 10 gb/s.
Comlink operates a six-state, 6,500-mile fiber optic network and delivers network, cloud, data, and voice services to enterprises and carriers, helping create customized, efficient connectivity solutions optimized for specific business needs of customers. For more information on our network, datacenters, markets, and services, visit comlink.net.