This equity round provides funds to support mergers and acquisitions as well as major customer-driven expansions such as Fiber to the Tower and educational networks
Louisville, CO (PRWEB) February 12, 2009
Zayo Group, a regional provider of fiber based bandwidth, telecom and wholesale voice solutions, announced today it has closed a new round of equity financing. The investment was led by Charlesbank Capital Partners, a private equity firm that is new to the Zayo Group investor syndicate. Zayo Group's existing equity investors--Battery Ventures, Centennial Ventures, Columbia Capital, M/C Venture Partners, and Oak Investment Partners--participated in the round.
The new round of financing will be drawn down over multiple closings. Additional details will be forthcoming upon the second closing.
"This equity round provides funds to support mergers and acquisitions as well as major customer-driven expansions such as Fiber to the Tower and educational networks," said Ken desGarennes, CFO of Zayo Group. "Fortunately, our day-to-day business does not require additional financing."
Dan Caruso, CEO of Zayo Group, added, "Raising Series B Equity in this environment is difficult. On behalf of the entire Zayo team and our customers, I want to thank Charlesbank, our existing equity syndicate, and our debt sponsors for the support they are providing to Zayo Group." Zayo's bank debt is led by CIT and the bank group includes CoBank, Hercules Technology Growth Capital, Royal Bank of Canada, and SunTrust Bank.
About Battery Ventures:
Since 1983, Battery has been investing in technology and innovation worldwide. The firm partners with entrepreneurs and management teams across technology sectors, geographies and stages of a company's life, from start-up and expansion financing, to growth equity and buyouts. Battery has supported many breakthrough companies around the world. From offices in Boston, Silicon Valley, Israel and India, Battery currently manages more than $3B in committed capital. For more information, visit http://www.battery.com.
Centennial Ventures is a venture capital firm investing in network companies and related enabling software and technology enterprises, with the potential to be market leaders. Our investment focus is on early and later-stage opportunities. Centennial Ventures VII, a $341 million partnership, is our most recent fund being invested. For more information, visit http://www.centennial.com.
Charlesbank Capital Partners is a middle-market private equity investment firm managing approximately $1.8 billion of capital. Charlesbank focuses on management-led buyouts and growth capital financings, typically investing $25 million to $100 million per transaction in companies with enterprise values of $50 million to $750 million. The firm seeks to partner with strong management teams to build companies with sustainable competitive advantages and excellent prospects for growth. For more information, visit http://www.charlesbank.com.
Columbia Capital is a premier venture capital franchise in wireless, broadband, media, and enterprise information technology investing. Formed in 1989, Columbia Capital takes a sector-focused approach to investing, having funded over 120 companies in its core markets. A sector focus allows Columbia Capital to regularly identify disruptive emerging companies and to recognize and build value throughout a company's lifecycle - from early stage investments, to large growth stage financings and special situations. Columbia Capital manages more than $2 billion in capital. For more information, visit Columbia Capital at http://www.colcap.com.
About M/C Venture Partners:
M/C Venture Partners is a venture capital firm focused exclusively on the communications, media, and information technology sectors. The firm has invested over $1.8 billion into nearly 100 companies in those sectors. The firm has strong institutional backing from leading pension funds and endowments as well as a long track record of success. M/C Venture Partners has offices in Boston, London and San Francisco. For more information, visit http://www.mcventurepartners.com.
About Oak Investment Partners:
Oak Investment Partners is a multi-stage venture capital firm with a total of $8.4 billion in committed capital. The primary investment focus is on high growth opportunities in Broadband Internet and Wireless Communications, Information Technology and Software Outsourced Services, Consumer Internet/New Media, Financial Services Technology, Healthcare Information and Services, Clean Energy, and Retail. Over a 30-year history, Oak has achieved a strong track record as a stage-independent investor funding more than 481 companies at key points in their lifecycle. Oak has been involved in the formation of companies, funded spinouts of operating divisions and technology assets, and provided growth equity to mid- and late-stage private businesses and to public companies through PIPE investments. For more information, visit Oak Investment Partners at http://www.oakinv.com.
CIT (NYSE: CIT) is a global commercial finance company that provides financial products and advisory services to more than one million customers in over 50 countries across 30 industries. A leader in middle market financing, CIT has more than $80 billion in managed assets and provides financial solutions for more than half of the Fortune 1000. A member of the S&P 500 and Fortune 500, it maintains leading positions in asset-based, cash flow and Small Business Administration lending, equipment leasing, vendor financing and factoring. The CIT brand platform, Capital Redefined, articulates its value proposition of providing its customers with the relationship, intellectual and financial capital to yield infinite possibilities. Founded in 1908, CIT is celebrating its Centennial throughout 2008. http://www.cit.com.
CoBank, a $58 billion Denver-based cooperative bank, provides financing to rural cooperatives and vital businesses - food, water, electricity and communications - across the United States. Part of the $208 billion U.S. Farm Credit System, the bank also finances agricultural exports. In addition to the national office in Denver, CoBank has offices across the United States and one international representative office. http://www.cobank.com
About Hercules Technology Growth Capital, Inc.:
Hercules Technology Growth Capital, Inc. (HTGC) is a NASDAQ traded specialty finance company providing debt and equity growth capital to technology and life science companies at all stages of development. Founded in December 2003, the company primarily finances privately held companies backed by leading venture capital and private equity firms. Hercules invests in a broad range of ventures active in technology and life science industries and offers a full suite of growth capital products at all levels of the capital structure. The company is headquartered in Palo Alto, Calif. and has additional offices in the Boston, Boulder, San Diego and Chicago areas. Providing capital to publicly-traded or privately-held companies backed by leading venture capital and private equity firms involves a high degree of credit risk and may result in potential losses of capital. For more information, please visit http://www.HTGC.com.
About Zayo Group:
Based in Louisville, Colo., Zayo Group (http://www.zayo.com) is a regional provider of telecom services - including bandwidth, voice and managed services - to carrier, enterprise, SME and government customers. Zayo Group provides its service over a fiber network that spans 128 markets in 23 states. Zayo Group consists of three complimentary business units: Zayo Bandwidth, Zayo Managed Services and Onvoy Voice Services.
For more information contact:
kmccoy @ zayo.com
Charlesbank Capital Partners
mturner @ charlesbank.com