M&A Deal Summary

EarthLink Acquires ITC DeltaCom

On October 1, 2010, EarthLink acquired communications company ITC DeltaCom from Welsh Carson Anderson & Stowe for 516M USD

Acquisition Highlights
  • This is EarthLink’s 2nd transaction in the Communications sector.
  • This is EarthLink’s 2nd largest (disclosed) transaction.
  • This is EarthLink’s 10th transaction in the United States.
  • This is EarthLink’s 6th transaction in Georgia.

M&A Deal Summary

Date 2010-10-01
Target ITC DeltaCom
Sector Communications
Buyer(s) EarthLink
Sellers(s) Welsh Carson Anderson & Stowe
Deal Type Add-on Acquisition
Deal Value 516M USD

Target

ITC DeltaCom

Atlanta, Georgia, United States
ITC DeltaCom, Inc. provides local and long-distance phone service, enhanced data, Internet access, managed IP, network monitoring and management and operator services, as well as the sale and maintenance of customer premise equipment.

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Buyer(S) 1

Buyer

EarthLink

Atlanta, Georgia, United States

Category Company
Founded 1994
Sector Communications
Employees2,144
Revenue 1.1B USD (2015)
DESCRIPTION
Earthlink's headquarters in Atlanta, Georgia.
Earthlink's headquarters in Atlanta, Georgia.

EarthLink provides internet access, premium email, web hosting, and privacy and data security products and services throughout the United States. EarthLink also has key partner relationships with several of the industry’s largest providers, enabling the Company to offer products and connectivity services available to millions of households nationwide. EarthLink was formed in 1994 and is based in Atlanta, Georgia.


DEAL STATS #
Overall 10 of 22
Sector: Communications M&A 2 of 8
Type: Add-on Acquisition M&A Deals 9 of 19
State: Georgia M&A 6 of 6
Country: United States M&A 10 of 22
Year: 2010 M&A 1 of 2
Size (of disclosed) 2 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2006-12-04 New Edge Network

Atlanta,, Georgia, United States

New Edge Network, Inc. a privately-held, single-source national provider of managed private wide area networks and dedicated Internet access for multi-location businesses and communications companies.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-12-20 One Communications

Burlington, Massachusetts, United States

One Communications is a multi-regional integrated telecommunications solutions provider in the United States – serving small and mid-sized business customers in 18 states across the Northeast, Mid-Atlantic and Upper Midwest, plus the District of Columbia.

Buy $370M

Seller(S) 1

SELLER

Welsh Carson Anderson & Stowe

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1979
PE ASSETS 31.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

Welsh Carson Anderson & Stowe (WCAS) is a mega-sized, specialist private equity firm focused on investments in growth-oriented companies operating within the healthcare and technology/tech-enabled services industries. WCAS will consider small and large transactions; including venture investments, growth equity investments, buy-and-build transactions, public-to-private acquisitions, and corporate carve-outs. The Firm prefers control situations and generally seeks opportunities in the US. Welsh Carson Anderson & Stowe was formed in 1979 and is based in New York City.


DEAL STATS #
Overall 30 of 76
Sector: Communications M&A 2 of 2
Type: Add-on Acquisition M&A Deals 18 of 44
State: Georgia M&A 1 of 2
Country: United States M&A 29 of 73
Year: 2010 M&A 6 of 11
Size (of disclosed) 22 of 33
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-10-01 Flexential

Charlotte, North Carolina, United States

Flexential is a hybrid IT infrastructure provider with a national footprint offering expertise in colocation, connectivity, cloud, and managed solutions. The company operates 40 data center facilities across 20 major domestic and international markets. Flexential serves 4,400 blue chip customers diversified across industries, geographies, and size with particular expertise in healthcare and SaaS. Flexential was founded in 2000 and is based in Charlotte, North Carolina.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-11-02 Springstone

Louisville, Kentucky, United States

Springstone is a provider of high-quality behavioral healthcare services. Its inpatient and outpatient programs provide children and adults with the treatment of mental illness and addiction, offering a broad scope of services for a diverse patient population. In addition to traditional therapies, The company takes a holistic approach to treatment, offering yoga, art, and recreational therapy. Its engaged and mission-driven team is dedicated to Changing People’s Lives through a patient-centric approach to delivering superior outcomes. Springstone was formed in 2010 and is based in Louisville, Kentucky.

Buy -