Alpheus Communications Secures New $135 Million Credit Facility

Financing further strengthens Alpheus’ capital structure and will fuel strategic growth strategy

HOUSTON – June 10, 2013 Alpheus Communications, a leading provider of Texas metro-regional fiber and networking solutions, today announced that it has secured a new $135 million credit facility that will be used to refinance current debt and fuel strategic growth, both organically and via acquisitions. Bank Street Group LLC served as joint lead arranger of the senior secured financing.

“We are pleased to have accessed the credit markets on highly favorable terms and conditions in order to refinance our existing indebtedness and provide a solid base for future investment and growth,” said Alpheus CEO Scott Widham. “Bank Street’s unique industry knowledge and insight, combined with the team’s creativity and understanding of the credit markets, enabled Alpheus to structure and syndicate a transaction that most effectively addressed the company’s capital requirements on an expedited basis.”

Alpheus is growing rapidly across all facets of its business, including its core network solutions, Ethernet services, enterprise offerings, and expanding its cloud-based strategy and services including having more than a dozen owned and leased data centers on the Alpheus core network in Texas.

Key Alpheus milestones during the past 12 months include:

  • Expanding its capabilities to provide Ethernet services from the U.S. into Mexico through a new network-to-network interface (NNI) agreement with Marcatel, a leading Mexican concessionaire.
  • Building out its fiber network to several large downtown Houston buildings.
  • Acquiring Net Star Telecommunications Inc., a Houston-based provider of network and data center services.
  • Launching a major expansion of its Ethernet capabilities in the Rio Grande Valley of Texas, which is key for cross-border voice and data communications.
  • Adding key agent partners to its channel program.
  • Investing more than $10 million to expand its workforce and fiber network to support its new market of selling high-bandwidth services directly to Texas businesses.

About Alpheus Communications

Alpheus Communications (www.alpheus.net) is a leading provider of Texas metro-regional fiber and networking solutions. With owned facilities in Dallas-Fort Worth, Houston, San Antonio, Austin, Corpus Christi and the Rio Grande Valley, Alpheus is flexible, content-neutral and responsive to customer needs when low-latency and uptime are essential. As the preferred fiber backbone for Metro Texas, Alpheus is in a unique position to support mission-critical information technology functions and cloud computing solutions through its resilient SSAE 16-compliant data center platforms for colocation and disaster recovery.

About Bank Street

Bank Street Group is an investment banking firm providing a comprehensive array of financial advisory services to middle-market companies. Our senior professionals have originated, structured and executed more than $500 billion of financial and strategic transactions and are dedicated to bringing the breadth and depth of this experience to bear to the benefit of our clients. With a portfolio of capabilities that includes Financial Advisory, Mergers & Acquisitions, Private Placements of Debt & Equity, Restructuring & Turnaround Advisory, Valuation and Fairness Opinions, Bank Street offers one-stop shopping for our clients seeking sophisticated financial services. Bank Street is a member of FINRA and SIPC. Visit www.bankstreet.com for more information.

Contact:

Tony Katsulos
Jetstream PR for Alpheus Communications
(972) 788-9456 ext. 301
katsulos@jetstreampr.com