Zayo Group Holdings, Inc. (NYSE: ZAYO) has announced it plans to separate into two publicly traded companies: one to focus on providing core communications infrastructure and another to leverage infrastructure to provide solutions for a broad set of enterprise customers, the company said.
Zayo Infrastructure, “InfraCo,” will be a unique, fiber-focused infrastructure provider with deep, dense networks and broad geographic reach throughout North America and Western Europe. “EnterpriseCo” will have a strong product portfolio and customer base centered on higher bandwidth connectivity to enterprise locations, including to public cloud and SaaS providers, that will be sold both directly to enterprise customers and wholesale through a carrier focused channel.
InfraCo will be comprised of the current Fiber Solutions and zColo business segments, along with the Wavelength and IP Transit businesses of Zayo´s current Transport segment. InfraCo will be the North American and European communications infrastructure asset, with an international fiber footprint and unparalleled metro and regional density.
EnterpriseCo will be comprised of the current Enterprise Networks and Allstream segments, along with the SONET and Ethernet businesses of Zayo´s current Transport segment. It will consist of two business units, an Enterprise Division and a Carrier Division.
The Enterprise Division will focus on the direct-to-enterprise business and will include solutions centered on SD-WAN, IP VPN, and Unified Communications. This division will provide high-bandwidth solutions to a large, well-diversified customer base that includes over 50,000 enterprises.
The Carrier Division will focus on wholesale services to carriers which enable them serve their enterprise customers, including Carrier Ethernet tails, Wholesale Voice, and SONET. These two business units, which will each combine resources and staff from both Allstream and Zayo´s existing Enterprise segment, will be run autonomously to ensure full focus on their respective customer base and solutions.
EnterpriseCo will be led by newly named COO Mike Strople, current president of Zayo´s Allstream Segment, and Tyler Coates, SVP of Zayo´s existing Enterprise Segment.
Zayo Group Holdings, Inc. (NYSE: ZAYO) provides communications infrastructure solutions, including fiber and bandwidth connectivity, colocation and cloud infrastructure to the world´s businesses. For more information, visit zayo.com.