- GTT Communications (GTT +28.5%) signed a definitive purchase agreement to sell its infrastructure division to I Squared Capital, an independent global infrastructure investment firm, for $2.15B (upfront cash payment of $2.02B at closing and total deferred payments of up to $130M based on certain financial results).
- Infrastructure division consists of GTT's business and activities of providing Pan-European, North American, sub-sea and trans-Atlantic fiber network and data center infrastructure services to customers.
- "The deal enables GTT to reinforce its capex light business model as well as its cloud networking focus and will benefit both enterprise and infrastructure clients alike," CRO and interim CEO Ernie Ortega commented.
- Acquisition expected to close during 1H21.
- After posting a 34% gain in PM, the stock continues to trade higher.