Canadian fixed-line operator and DTH provider Shaw Communications has finalised the acquisition of US-based data centre operator ViaWest for US$1.2 bn.
At the end of July, the company announced its intention to acquire ViaWest from private equity firm…
Canadian fixed-line operator and DTH provider Shaw Communications has finalised the acquisition of US-based data centre operator ViaWest for US$1.2 bn.
At the end of July, the company announced its intention to acquire ViaWest from private equity firm Oak Hill Capital Partners and other shareholders, adding that the transaction would be funded using a combination of cash on hand and an existing credit facility.
Shaw paid US$830m for the business and assumed its US$370m debt pile. The deal was subject to US regulatory approval.
As a result of the acquisition, Shaw will be able to grow in the North American data centre sector and expand its product offering for mid-market enterprises in Western Canada, CEO Brad Shaw said in a statement yesterday.
The transaction also sees Shaw – which has been primarily focused on its consumer triple-play offering – turn its attention to business customers.
The current ViaWest management team, led by co-founder and CEO Nancy Phillips, will continue to operate the company from its Denver headquarters as a stand-alone, wholly-owned subsidiary of Shaw.
TD Securities acted as financial adviser to Shaw while Davies Ward Phillips & Vineberg and Simpson Thacher & Bartlett served as its legal counsels.
ViaWest worked with M&A adviser RBC Capital Markets and law firm Paul, Weiss, Rifkind, Wharton & Garrison.
