Apparently I missed this one when it first came through, but better late than never! This week Segra completed an M&A down in North Carolina, acquiring longtime regional service provider NorthState.
Northstate has been around for about 120 years and serves the Piedmont Triad region, which is sort of the north central part of the state around Greensboro and Winston Salem. The deal brings some 3000 route miles of fiber into Segra’s portfolio, giving the company a deeper presence in a region that doesn’t get as much infrastructure attention as it would probably like. Segra’s footprint now extends some 30K route miles hooking up 10K buildings across a wide swath of the east coast.
Segra’s broader position in North Carolina comes largely from that of Spirit Communications, which merged with Lumos a couple years ago before it was all rebranded to the current name under EQT’s financial umbrella. I would not be surprised to see additional tuck-in regional acquisitions like this, either within their territory or adjacent to it. A move deeper into Georgia seems like a logical step, for instance.
Segra paid $80/share for Northstate’s common stock, which had been trading on the OTC Pink Market. That works out to a price tag of about $240M
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