Syringa Networks is making an inorganic move to boost its fiber depth. The Idaho-based carrier has gained clearance from the DOJ to acquire the former Level 3 metro network in Boise from CenturyLink.
The footprint spans some 400 route miles in the Idaho capital, much of which came to Level 3 from the tw telecom deal as I recall. It will give Syringa additional depth there that will fit very well with the company's regional and metro fiber footprint spanning Idaho and northern Utah.
This is one of what will probably be several such deals related to divestitures CenturyLink promised to make as part of the process of getting regulatory approval from regulators to acquire Level 3. In other words, it's a place where Level 3 and CenturyLink were competitors in a fairly thin market, and thus combining the two assets would have negative effects.
Like many other members of the Indatel group, Syringa Networks is owned a group of rural telecoms with a deep interest in the bandwidth infrastructure in a region often given little attention by national operators. Syringa is therefore a very natural strategic buyer for the former Level 3 Boise network.
Financial terms were not disclosed. The deal is only for the assets, not the customers, employees and such. CenturyLink will serve existing customers on those assets through Syringa at least in the near term.