Consolidated Communications Holdings, Inc. announced today it has entered into a definitive agreement to acquire Champaign Telephone Company (CTC) and its sister company, Big Broadband Services (BBS), a private business communications provider in the Champaign-Urbana, Ill. area.
“We are excited to welcome CTC customers to the Consolidated Communications family and look forward to building upon the strong business Mike and his team have built in the greater Champaign-Urbana, Ill. area,” said Bob Udell, president and chief executive officer of Consolidated Communications. “This acquisition would add 275 fiber route miles and 310 lit buildings to our existing fiber network which extends to Champaign, Ill., a community located just 50 miles north from our Mattoon, Ill. headquarters. It’s a great fit with our focus on expanding our fiber network and commercial services”
“CTC’s joining Consolidated Communications will create a highly competitive company with increased resources, expertise and an expanded portfolio of commercial services that will benefit CTC customers,” said Mike Hosier, owner of CTC. “I believe this agreement will take CTC customers to the next level and provide important benefits to the community as well.”
CTC began in 1984 as a small PBX provider and has grown into a regional leader in Internet, Voice, Metro Ethernet, and Hosted VoIP provider. CTC serves approximately 1,500 business customers over 310 fiber-lit buildings. CTC recorded fiscal 2015 revenue of approximately $10 million, the majority of which is recurring service revenue.
The agreement provides for an all cash transaction valued at $13.0 million. The closing is subject to standard closing conditions, including regulatory approvals, and is expected to close in the second quarter of 2016.
About Consolidated Communications
Consolidated Communications Holdings, Inc. is a leading broadband and business communications provider throughout its 11-state service area. The Company leverages its advanced fiber optic network and multiple data centers to offer a wide range of communications solutions, including data, voice, video, managed services, cloud computing and wireless backhaul. Headquartered in Mattoon, II, Illinois, the Company has been providing services in many of its markets for more than a century.