Everstream Solutions, the business fiber provider, is channeling newfound capital into a major network expansion.
The company will spend $300 million to build its fiber network in strategic Midwest locations. Major cities in Ohio, Indiana, Kentucky, Missouri, Wisconsin and Michigan will comprise the 6,000 new route miles. Everstream said it will assemble “dense metro fiber networks” in 12 markets, including St. Louis, Missouri, and Madison, Wisconsin.
“Everstream remains committed to expanding in contiguous markets while making certain that we maintain the level of service and experience that our customers demand,” said Brett Lindsey, Everstream president and CEO.
Lindsey said an expanded fiber network footprint increases the quality of the company’s fiber routes and opens the door for new customers. And partners stand to benefit.
“This Midwest expansion allows Everstream to continue to provide more opportunity for our partners to sell fiber-based services across a larger network footprint,” Lindsey told Channel Partners.
It’s no coincidence that Wednesday’s announcement came only four months after AMP Capital bought Everstream. Private-equity firm M/C Partners sold Everstream to the Australian investment manager for an undisclosed sum. AMP brought an “infusion of capital” to open the door for acquisitions and network growth.
Everstream represented AMP’s effort to build its North American presence. Cleveland-based Everstream already had a strong presence in the Midwest, and it now serves as AMP’s platform to consolidate multiple North American telecom assets.
Lindsey at the time of the acquisition predicted a network expansion in the near future.
“Partners look forward to having access to a larger network as we expand organically, through acquisitions and new greenfield markets,” he told our Edward Gately. “AMP Capital shares a longer-term perspective for Everstream, bringing financial strength and strategic know-how to our business to position Everstream for years of continued success. We look forward to joining forces with AMP Capital and, with their support, continuing on our trajectory of positive growth.”
Everstream has announced plans to expand the footprint of its fiber network through greenfield builds throughout the Midwest. Upon completion, Everstream will have added nearly 6,000 route miles to its current 10,000-plus-mile fiber network. Read more: https://t.co/IVn2BaMv55 pic.twitter.com/0udW7CpU09
— Everstream (@EverstreamNET) January 30, 2019
Everstream will begin building the greenfield developments in the first quarter of 2019 and is expected to finish the work in the second quarter of 2020. The 6,000-mile addition will expand a fiber route that currently covers 10,000 miles.