SureWest Communications, which serves the Sacramento, California region, agreed to acquire Everest Broadband, which serves the greater Kansas City area, for $173 million. Everest is a portfolio company of Seaport Capital. The deal, which is expected to close by the end of the first quarter 2008, will more than double SureWest’s triple-play residential subscriber base and facilitate the rapid expansion of its business services.
The combined company will serve a broader customer base across two comparable areas and together possess over 200,000 revenue generating units (RGUs) in the greater Sacramento, California, and Johnson County, Kansas and Kansas City, Missouri areas. This includes approximately 95,000 data, 54,000 video and 53,000 voice RGUs in addition to roughly 117,000 voice access lines.
“Over the past two years, we have made great strides in transforming SureWest into a premier triple-play provider that delivers a superior customer experience,” said Steve Oldham, president and chief executive officer of SureWest. “The Everest transaction significantly accelerates our growth and geographic diversification strategy by adding Everest’s rapidly expanding customer base in the greater Kansas City area to our northern California service territory.”http://www.surewest.com
http://www.everestkc.com
