In the media: Sidera Networks up for sale
Sidera Networks, which up until last year was RCN Metro Optical Networks, has a price tag on it thanks to the seemingly insatiable demand for high-speed networks.
According to a recent story in The Wall Street Journal, Sidera and FiberLight are up for sale. The story said Abry Partners, which bought RCN and took it private last year prior to splitting off RCN Metro Optical Networks under the new name, is asking roughly $800 million for Sidera.
Sidera Networks has a fiber-rich network that services financial institutions in New York City and New Jersey with colocation and Metro Ethernet offerings. Sidera's network also stretches to Portland, Maine, Washington, D.C., Chicago and Toronto.
According to The Wall Street Journal, FiberLight is seeking about $500 million. Both companies have hired investment banks to manage potential auctions. Private equity firms that have fiber assets, along with large telecoms such as AboveNet, tw Telecom and Paetec Holding, are said to be interested in Sidera and FiberLight.
While companies such as Level 3 installed a lot of dark fiber during their build-outs in the late '90s, demand lagged over the ensuing years. After years of struggling, increased usage by phone, data, video and business services have filled up the pipes.
In April, Level 3 bought Global Crossing for an estimated $3 billion in stock. Level 3 bought Global Crossing in part to connect its networks globally.