European independent fibre network and cloud networking provider Interoute has been acquired by US cloud networking firm GTT Communications for €1.9 billion in an all-cash deal.
Headquartered in London, Interoute runs one of Europe’s largest independent fibre networks and had revenues of €718 million in 2017. The company had been exploring sale options since last year.
According to Virginia-based GTT, the deal will add 72,000 km worth of fibre network in Europe to its ranks and it will now have an overall network reaching 29 countries and 126 cities alongside its dozens of data centres.
“The combined assets and strengths of our two companies create a powerful portfolio of high-capacity, low-latency connectivity, and innovative cloud and edge infrastructure services to support our customers in the global digital economy,” said Gareth Williams, CEO of Interoute, in a statement.
“This combination creates a disruptive market leader with substantial scale, unique network assets and award-winning product capabilities to fulfil our clients’ growing demand for distributed cloud networking in Europe, the U.S. and across the globe,” added Rick Calder, CEO of president of GTT.
The deal is expected to close in three to six months.