Global Capacity Buys MegaPath's Network Assets

Chicago, IL, - Global Capacity, a connectivity-as-a-service company, today announced a definitive agreement to acquire the Network Services business unit of MegaPath Corporation. The transaction will combine the complementary capabilities of Global Capacity’s One Marketplace platform and cloud application with MegaPath’s network infrastructure and intelligent delivery systems. The acquisition will create a $300 million company focused on making it simpler, more cost-effective and more efficient for customers to buy network connectivity in today’s increasingly complex $318 billion global data connectivity market.

As a result of the acquisition, Global Capacity will gain infrastructure and human resources that allow it to more effectively compete on a global scale. The acquisition will provide it with a significant expansion of business and wholesale customers as well as the United States’ largest aggregated central office-based network, serving 50 markets, reaching over 14 million businesses and adding more than 300 experienced employees.

The network business being acquired is directly aligned with Global Capacity’s initiatives for growth. Key drivers include continued build-out of ubiquitous network reach; enhancements to Global Capacity’s cloud application that enables real-time design, price and ordering of connectivity; and improved real-time network management tools to meet telecommunication carriers, managed service providers, system integrators, and enterprise customers increasingly application centric bandwidth requirements.

With the sale of its Network Services business unit, MegaPath will continue to operate its managed voice, data, security and cloud services businesses, and this transaction enables MegaPath to focus on these high growth segments. At closing, MegaPath will become Global Capacity’s largest wholesale customer.

MegaPath Inc. Global Capacity