Birch Communications, Inc. has successfully completed the acquisition of Cbeyond (News - Alert) in an all-cash transaction valued at approximately $323 million.
Officials confirmed that this transaction has been approved by the boards of directors of both companies.
With this acquisition, the common stock of Cbeyond will no longer be listed for trading on the NASDAQ. The transaction will also create a nationwide communications, cloud and managed services provider with approximately $700 million in annual revenue and approximately 200,000 business customers located in all 50 states, the District of Columbia, Canada and Puerto Rico.
"Cbeyond is a great strategic fit for Birch," said Vincent M. Oddo, president and CEO of Birch. "We are building on our heritage of redefining the way businesses are served and supported, and are well-positioned to meet the accelerating demand for broadband and cloud-based services – competitively, strategically and financially."
Birch, with this transaction will maintain its headquarters in Atlanta, GA and will continue to increase its investment in the Atlanta metro area.
Cbeyond's Atlanta headquarters and operations facility will become Birch's newest Operations Center supporting a range of functions including: customer care, engineering, operations, sales, finance and marketing.
Further, the transaction will create a nationwide IP-based network covering 22-states and Washington DC, with approximately 31,000 fiber route miles, over 550 fiber-lit buildings, 594 network collocations and 6 Data Centers.
"We are excited to welcome the Cbeyond customers and employees! Superior, award-winning customer service will continue to be our number-one priority," said Chris Aversano, COO of Birch. "The completion of this transaction means that all of our customers will now benefit from a comprehensive set of communications and managed-service capabilities that enable them to operate their businesses in an efficient and effective manner."
Recently, TMCnet reported that Cbeyond launched a secure and compliant cloud file storage, sharing and backup service for business media and data, called TotalCloud File Storage.