Birch Communications' Cloud and Business Services business acquired by Fusion Telecommunications International, Inc. for $600 million
Clients Birch Communications, Inc.
Jones Day advised Birch Communications, Inc. in the acquisition of its cloud and business services business by Fusion Telecommunications International, Inc. for approximately $600 million in an all-stock transaction which included the purchase of 50 million shares of Fusion’s Common Stock and the refinancing of $444 million of Birch indebtedness. Birch's shareholders own approximately 70 percent of the combined company. The combination created one of the largest cloud services providers in North America, with more than 150,000 business customers and 100 percent Internet Protocol-based network, including 30 data centers, 31,000 fiber route-miles of network, and metro fiber assets in 11 major markets.
In connection with the transaction, Birch's legacy consumer and single-line business customers transferred to the current Birch shareholders, who will continue to operate that business separately from the combined company.