Time Warner Cable to acquire regional fiber firm DukeNet for $600M

Time Warner Cable to acquire regional fiber firm DukeNet for $600M

Summary: The cable and television giant is buying the North Carolina-based regional fiber firm to expand its own growing fiber network across the eastern seaboard.

TOPICS: Networking
DukeNet's fiber network across the eastern U.S. coast (Image: DukeNet/Google)

Time Warner Cable has entered a definitive agreement to buy DukeNet Communications for $600 million in cash. 

The deal announced on Monday, which will also include the repayment of debt, will help the New York-based cable giant to expand its fiber offering to North Carolina and South Carolina, including five other states across the U.S. eastern seaboard and the southeast.

DukeNet provides high-bandwidth data services to wireless carriers, datacenters, government, and enterprise customers over its network of more than 8,700 miles.

The fiber firm is described as a "non-core business" to Duke Energy, according to its commercial business group president Marc Manly.

DukeNet is split evenly down the middle, part owned by Duke Energy and Alinda Capital Partners.

The deal is expected to close in the first quarter of 2014. Time Warner Cable said it expects the deal will likely be subject to U.S. regulatory scrutiny.

Topic: Networking

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  • I hope this is blocked.

    Time Warner Cable has had a near monopoly on high speed Internet in the Carolinas' due to restrictions on the cable lines which they've paid North and South Carolinian politicians well to preserve. Lately that's been challenged by AT&T U-Verse using fiber and bypassing cable entirely. The push to acquire a fiber provider with which to move into this area seems more than just a coincidence.
    • This has nothing to do with Residential service.

      This is purely for commercial services. Residential HFC/Docsis system is already primed to run Docsis 3.0 and will have Docsis 3.1/4 in ten years with possibly matching fiber through coax if the technology holds up, so Time Warner Cable doesn't need a Fiber network for residential.