Oak Hill Investment Will Accelerate NetSpeed’s Fiber Deployment in the Northeast
ROCHESTER, NY and STAMFORD, CT, January 21, 2021 (PRNewswire)
NetSpeed LLC (“NetSpeed”), a fiber-to-the-premises operator serving residential and business customers in Pennsylvania and Connecticut, announced today that it has formed a new partnership with Oak Hill Capital (“Oak Hill”) which will allow NetSpeed to accelerate the expansion of its fiber network throughout the Northeastern U.S.
“This agreement gives NetSpeed the ability to significantly expand our business in the Northeast with the support of a partner who has a long history of investing in telecommunications companies with great potential,” said Frank Chiaino, Founder and CEO of NetSpeed. “I am proud of what our team has accomplished since we launched the business, but the best is yet to come. Our new partnership represents the next stage of growth for NetSpeed.” Mr. Chiaino and NetSpeed management remain significant investors in the new partnership.
Oak Hill is an experienced investor in the fiber-to-the-premises space. The firm’s current and recently announced investments include Metronet, a leading fiber-to-the-premises operator based in the Midwestern U.S.; Vexus Fiber, a rapidly expanding fiber-to-the-premises provider in Texas; Race Communications, a fast-growing fiber-to-the-premises business in California; and recently announced, separate agreements to invest in Otelco and in Ontario and Trumansburg Telephone Companies, two eastern U.S. broadband companies.
“NetSpeed has assembled a talented leadership team that is capable of significantly ramping up the company’s deployment of fiber-to-the-premises networks, and we are very excited to contribute our experience and capital to this partnership,” said Benjy Diesbach, Partner at Oak Hill. “Oak Hill and NetSpeed share the belief that expanding access to reliable, high-speed broadband connectivity is fundamental to driving economic growth and equal opportunity in local communities across the country.”
“NetSpeed and Oak Hill have very strong ties to the Northeastern U.S., with both headquarters in New York state, additional presence in Connecticut and Pennsylvania, and a history of building fiber networks throughout the region,” added Jennifer Jun, Principal at Oak Hill. “Having been a long-time resident of the tri-state area, I am excited to support NetSpeed’s mission to provide more customers with high-speed fiber connections and outstanding customer service in previously underserved communities across NetSpeed’s existing footprint and surrounding states.”
Stifel served as exclusive financial advisor and Woods Oviatt Gilman LLP served as legal advisor to NetSpeed in connection with this transaction. Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to Oak Hill.
NetSpeed is a high-speed fiber-optic Internet provider serving residential and business customers. NetSpeed is now serving more than 15 communities throughout Pennsylvania and Connecticut. The company was founded by Frank Chiaino, who also founded Fibertech Networks, which built more than 14,000 miles of fiber network across the Northeast – including more than 2,500 route miles in Connecticut. For more information on the company, or to inquire about service for your residence or community, please visit www.gonetspeed.com.
About Oak Hill Capital
Oak Hill Capital is a private equity firm managing funds with over $16 billion of initial capital commitments and co-investments since inception. Over the past 35 years, Oak Hill Capital and its predecessors have invested in approximately 100 private equity transactions across broad segments of the U.S. and global economies. Oak Hill Capital applies an industry-focused, theme-based approach to investing in the following sectors: Services, Industrials, Media & Communications, and Consumer. Oak Hill works actively in partnership with management to implement strategic and operational initiatives to create franchise value. For more information, please visit: www.oakhill.com.