Service Provider Featured Article

Interactive communication service provider Knology (News - Alert) has now fully acquired Graceba Total Communications, a telecommunication service provider to residential and business customers in Dothan, Alabama, for a purchase price of $ 75 million. Dothan, Ala.-based Graceba Total Communications is a cable, Internet, and phone provider with some 25,000 connections.

 

 

West Point, Georgia-based Knology paid $16 million in cash and used proceeds from its $59 million term loan to cover costs of the transaction.  Knology, through its subsidiaries, owns and operates an interactive broadband network in the southeastern United States.

 

Knology offers almost a full suite of telecommunication services including voice, video, and high-speed Internet broadband.

 

“The Graceba assets are located in our Southeast footprint and the business has achieved very good connection growth, subscriber penetration and EBITDA margins,” said Rodger L. Johnson, President and Chief Executive Officer of Knology, Inc.

 

Knology looks to have decided to retain all existing employees of Graceba.

 

Knology’s offerings include over 200 channels of digital cable TV; its fiber-based business products include Passive Optical Network (PON), which supplies IP architecture with segmented voice and data bandwidth, and Managed Integrated Network Solutions (News - Alert) (MATRIX), an integrated IP-based technology that converge data and voice.

 

The company owns and operates a 750 MHz interactive broadband network. As of December 31, 2006, its network passed approximately 759,000 homes. The company provides its services in Huntsville and Montgomery, Alabama; Panama City and a portion of Pinellas County, Florida; Augusta (News - Alert), Columbus, and West Point, Georgia; Charleston, South Carolina; and Knoxville, Tennessee.

 

Narayan Bhat is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.