Last week, privately held west coast CLEC TelePacific apparently raised some $395M via a new senior credit facility. They will use the funds at least partially to refinance existing debt that is maturing over the next two years. The new debt consists of a $370M term loan and a $25M revolving line of credit that they did not draw on initially. Telepacific also offered some information on its financial state, pegging 2009 revenues at $452.2M which was up about 2% from 2008. That’s not a huge growth number of course, but it was definitely growth. Considering the economic environment in 2009 for CLECs I’d have to say it wasn’t too bad at all.
Now, TelePacific doesn’t have a fiber business the way an Abovenet does, but they do own some. They picked up the MPower assets, which had itself bought the west coast metro and intercity footprint of ICG. Whatever they have done with those assets they have done quietly, but I’ll bet having a bit more fiber in their diet has helped the company weather the recession a bit better.
Phone+ suggests that TelePacific might also be preparing to enter the M&A arena. Hmmm, yes I could see that happening. I’ve always thought they would fit well with Integra Telecom. There is some territorial overlap and both have some metro and regional fiber in combination with a CLEC business model.
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