Oak Hill Capital Partners to Acquire ViaWest
For Immediate Release
“Over its 11-year history, ViaWest has evolved into a clear market leader,” said Roy Dimoff, Chairman and CEO. “With 17 acquisitions successfully completed, combined with a strong history of organic growth, our management team is eager to transition into our second phase of growth. We are extremely pleased that our new financial sponsor is Oak Hill Capital, a partner that fully understands the industry and the opportunity. Similar to our current investment group, Oak Hill Capital has a long-standing history in our industry and a tremendous reputation for successful investments based on their partnership with management.”
Bob Morse, a partner of Oak Hill Capital, said, “Explosive growth in Internet traffic and a growing preference by all but the largest corporations to outsource their own data centers is driving tremendous demand for high-quality, stand-alone data center solutions. ViaWest is ideally positioned to serve this growing demand, and we look forward to supporting the company’s management team as they continue to build the franchise.”
Sengal Selassie, founder and Managing Partner of Trinity Equity Investors, said, “We are delighted to have partnered with ViaWest for more than ten years. The Trinity Equity team has enjoyed working alongside management, participating in the Company’s tremendous growth, and helping the ViaWest management team build a leading service-focused enterprise. ViaWest has built a tremendous reputation servicing mid-sized and Fortune 1000 companies’ infrastructure space needs, and we are very proud of the ViaWest franchise.”
Completion of the transaction, which is subject to regulatory approvals and customary closing conditions, is expected in the second quarter of 2010.
Senior debt financing is being arranged by Royal Bank of Canada, and mezzanine financing is being provided by Barclays Structured Principal Investing Fund L.P. and Solar Capital Ltd. RBC Daniels and Cowen and Company acted as financial advisors to ViaWest in the transaction. Winston & Strawn LLP is serving as legal counsel to the largest shareholders of ViaWest. Hogan & Hartson LLP is serving as legal counsel to ViaWest. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal counsel to Oak Hill Capital Partners.