Platinum-backed MegaPath Agrees to Sell Unit to GTT
February 23, 2015
MegaPath, a portfolio company of Platinum Equity, has entered into an agreement to sell its Managed Services business to GTT (NASDAQ: GTT), a cloud networking provider to multinational clients. GTT will pay $144.8 million in cash and $7.5 million in its own common stock for the acquisition. Having generated 2014 recurring revenues and adjusted EBITDA of approximately $124 million and $20 million respectively, MegaPath's Managed Services business provides private wide-area-networking, Internet access services, managed services and managed security to over 500 large multinational clients. Platinum has backed MegaPath since 2010.