Some of the newer fiber in Virginia is changing private equity hands. Late last week SummitIG and SDC Capital Partners did a deal that will see SDC take a majority interest in the company.
SummitIG built out a new route between northern Virginia and Richmond back in 2013-2014, and has since been agressively fleshing out the metro connectivity on each end in a big way. That plan has proved prescient, and the regional Virginia fiber market has grown dramatically in profile over the last five years. New submarine cables have landed down in Virginia Beach, and the need for diverse ways to get that traffic up to Ashburn has helped accelerate demand. The company’s footprint now spans some 500 route miles.
SummitIG will use its newly recapitalized balance sheet ot support its growth plans. That implies they will be building out more infrastructure, and I’m curious to hear what is next on the menu. I suspect it will be organic in nature though, so the question is where other than the obvious extension over to Virginia Beach they might have in mind.
Columbia Capital will stay on as an investor in the company, albeit not the majority one anymore. The everpresent Bank Street Group advised SummitIG on the transaction.
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