Acquisition represents the largest broadband & telecom transaction in the past five years
New York, N.Y. and Princeton, N.J. – August 19, 2021 – Stonepeak, a leading alternative investment firm specializing in infrastructure and real assets, today closed its previously announced $8.1 billion acquisition of Astound Broadband (Astound), the sixth largest U.S. cable operator in the United States, operating leading regional providers RCN, Grande Communications (Grande), Wave Broadband (Wave) and enTouch Systems (enTouch).
Astound, led by the Patriot Media management team, has built modern, high-speed communication networks for residential and businesses customers of all sizes. The company offers gigabit speeds serving eight of the top ten largest metro areas throughout the United States. RCN, Grande, Wave and enTouch together serve over one million customers with 23,000 miles of fiber across Chicago, Eastern Pennsylvania, Massachusetts, New York City, Northern California, Oregon, Texas, Washington, DC., and Washington state.
Since the announcement of the transaction with Stonepeak in November 2020, Astound has continued to execute on strategic growth initiatives including signing two additional transactions that bolster the company’s capabilities in key markets: the acquisition of WideOpenWest’s Chicago, Indiana, and Maryland markets, and the acquisition of Harris Broadband, a leading provider of fiber to the home services across central Texas. Stonepeak will partner closely with the Astound management team to continue this positive momentum as the company remains active across multiple growth areas, including organic network expansion, additional M&A opportunities and efforts to accelerate its residential and commercial segments.
“Stonepeak’s experience building businesses and its commitment to helping companies grow make it the ideal partner as we continue to deliver high-performing broadband and provide exceptional service to our customers,” said Jim Holanda, CEO. “We look forward to working together to invest in our network, continuing to enhance our product and services, and capitalize on exciting growth opportunities.”
Patriot Media chairman and industry veteran Steve Simmons added, “As we continue to expand our platform, our core objectives remain aligned to deliver exceptional service to our customers and communities, a best-in-class experience for our employees, outstanding results for our investors, and top tier growth.”
“The acquisition of Astound marks Stonepeak’s second investment in residential broadband in North America and represents the largest asset in Stonepeak’s global communications portfolio, which includes eight digital infrastructure investments to date,” said Brian McMullen, Senior Managing Director at Stonepeak. “Broadband plays a critical role in today’s economy and society, particularly as the need for faster speeds and greater coverage continues to grow. We are excited to close this transaction and to continue working with Jim, Steve and the Patriot Media team to further accelerate Astound’s growth and provide greater access to critical digital infrastructure across the country.”
The Stonepeak digital infrastructure portfolio includes data center, fiber, residential broadband, small cell and tower assets across the Americas, Asia and Europe with cumulative enterprise value and equity commitments of more than $30 billion.
About Astound Broadband
Astound Broadband (astound.com) is the sixth largest cable operator in the U.S., providing award-winning high speed internet, broadband communications solutions, TV, phone services and fiber optic solutions for residential and business customers across the United States. Astound Broadband is comprised of organizations formerly known as RCN, Grande Communications, Wave Broadband, and enTouch. The company services Chicago, Indiana, Eastern Pennsylvania, Massachusetts, New York City, Maryland, Washington, DC, Texas, regions throughout California, Oregon and Washington.