Mergers & acquisitions

Globix Sells US Biz

NEW YORK -- Globix Corporation (AMEX:GEX), a leading provider of Internet infrastructure and network services, today announced that it has entered into a definitive agreement to sell its interests in its United States hosting business to Quality Technology Services (Quality) for a cash purchase price of $20,000,000. The transaction is expected to close in approximately one month and is subject to customary terms and closing conditions. The net proceeds of the transaction will be used by Globix to pay down indebtedness and for other corporate purposes.

According to Quality Technology Services, the company is one of the nation's largest privately held hosting and managed services companies which has been aggressively expanding its national footprint and is excited to add the outstanding Globix U.S. Hosting products and services to the Quality portfolio. "The addition of the Globix U.S. Hosting business is in line with our strategy and is one step towards achieving our goal to be the premier provider of managed services and data center facilities in the country," says Chad Williams, Chairman and CEO of Quality. "The New York and California areas are key pillars in that strategy," Williams added.

"We are looking forward to providing the best possible services to our combined customer base by leveraging the exceptional resources from both organizations," said Mark Waddington, President of Quality Technology Services. "To enhance the services offered to our customers, we have also announced today the addition of a 960,000-square-foot facility in Atlanta that will be one of the largest data centers in the country." Quality will also announce a New York area facility in the coming days.

Globix Corp.

Be the first to post a comment regarding this story.
Sign In