Amidst More Consolidation Rumors, AboveNet Expands Its Footprint

June 8th, 2011 by · 1 Comment

Metro network operator abvt may be for sale, but that hasn’t slowed down their fiber building ways.  This week the company announce the buildout of its network into two substantial data centers.  In New Jersey, they added the brand new modular i/o facility in Edison, where things have been moving very quickly since it was announced just over two months ago.  And down in Texas, AboveNet has hooked up the Westland Data Center, better known by its more creative nickname – The Bunker.  Located 45 miles north of Houston and 60 feet straight down, the facility is a former nuclear fallout shelter with 38,000 square feet of Tier III space.

Meanwhile, despite my thoughts that AboveNet might emerge from all this as the acquirer or that CenturyLink might be the most logical bidder, more recent rumors have it that it is strategic buyers TW Telecom (NASDAQ:TWTC, news, filings) and Zayo Group (news, filings) that may be closing in on what could be a $2B deal.  Actually though, if it were Zayo, why not pull some sort of reverse merger and go public that way?  Hmmmm…  But if TW Telecom has finally awoken from its nearly five year slumber since the 2006 purchase of Xspedius, I suspect they do have the firepower and synergies to pull it off.

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Categories: Datacenter · Mergers and Acquisitions · Metro fiber

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  • Anon says:

    $2B would not be much a premium to the current $1.9B marketcap – not sure that would get this done. Hearing similar rumors….

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