M&A Deal Summary

MegaPath Acquires Covad Communications Group

On March 31, 2010, MegaPath acquired communications company Covad Communications Group from Crystal Capital

Acquisition Highlights
  • This is MegaPath’s 3rd transaction in the Communications sector.
  • This is MegaPath’s 3rd transaction in the United States.
  • This is MegaPath’s 1st transaction in California.

M&A Deal Summary

Date 2010-03-31
Target Covad Communications Group
Sector Communications
Buyer(s) MegaPath
Sellers(s) Crystal Capital
Deal Type Merger

Target

Covad Communications Group

San Jose, California, United States
Covad provides a wide range of access and hub aggregation services, including Ethernet, T1, and DSL. Covad manages a robust, next-generation IP/MPLS network that efficiently delivers integrated voice, video, and data solutions. Covad broadband services are currently available in 45 states and 240 major metropolitan areas, and can be purchased by approximately 11 million businesses, representing over 60 percent of all U.S. businesses.

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Buyer(S) 1

Buyer

MegaPath

Costa Mesa, California, United States

Category Company
Founded 1996
Sector Information Technology
DESCRIPTION
MegaPath office in Herndon, Virginia.
MegaPath office in Herndon, Virginia.

MegaPath provides fully managed IP-based Virtual Private Network connectivity solutions over both the public Internet and its private network. MegaPath was formed in 1996 and is based in Costa Mesa, California.


DEAL STATS #
Overall 3 of 5
Sector (Communications) 3 of 4
Type (Merger) 2 of 2
State (California) 1 of 1
Country (United States) 3 of 5
Year (2010) 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2006-08-29 DSL.net

Wallingford, Connecticut, United States

DSL.net, Inc. provides broadband digital subscriber line and VoIP services to small- and medium-sized businesses, and enterprises in the United States.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-06-10 Speakeasy

Seattle, Washington, United States

Speakeasy is a broadband voice (VoIP), data and IT service providers. Speakeasy helps small businesses succeed by offering simplified voice and data solutions that improve the customer experience, increase employee productivity and help cut costs.

Buy -

Seller(S) 1

SELLER

Crystal Capital

Boston, Massachusetts, United States

Category Private Equity Firm
Founded 2006
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Crystal Capital is an affiliate of Crystal Financial Corporation, Crystal Capital is a private investment firm that provides debt and equity capital to middle-market companies. Crystal Capital does not have an industry preference in evaluating opportunities, but looks to provide a minimum of $1 million in equity (co-investment) or $10 million in junior capital per transaction. Target companies typically generate sales of at least $150 million and EBITDA of $15 million. Crystal Capital was formed in 2006 and is based in Boston, Massachusetts with additional offices in Los Angeles, California; Stamford, Connecticut; and Chicago, Illinois.


DEAL STATS #
Overall 1 of 20
Sector (Communications) 1 of 1
Type (Merger) 1 of 1
State (California) 1 of 4
Country (United States) 1 of 20
Year (2010) 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-01-18 Trulite Glass & Aluminum Solutions

Peachtree City, Georgia, United States

Trulite Glass & Aluminum Solutions is an architectural glass and aluminum fabricator. Trulite distributes and manufactures architectural aluminum, insulated units, mirrors, tempered, laminated and decorative glass from their 35 locations throughout the U.S. and Canada. Trulite Glass & Aluminum Solutions was formed in 1978 and is headquartered in Peachtree City, Georgia.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-04-15 Clover Environmental Solutions

Hoffman Estates, Illinois, United States

Clover Environmental Solutions provides environmentally sustainable solutions focused on the recovery, returns management, remanufacturing, and recommerce of business and consumer goods. By leveraging its world-class engineering, manufacturing, and distribution infrastructure, Clover Environmental Solutions provides circular economy solutions for various products, making the company a product lifecycle management provider of choice for OEMs and retailers globally. Clover Environmental Solutions was established in 1996 and is based in Hoffman Estates, Illinois.

Sell -