Pacific Crossing Limited, the operator of the most reliable trans-Pacific undersea cable network, PC-1, today announced that it had agreed to be acquired by NTT Com, the international and long distance service arm of NTT Corporation. NTT Com will acquire 100% of Pacific Crossing's outstanding common shares. The largest of PCL's shareholders are funds managed by Strategic Value Partners, LLC.
Pacific Crossing's PC-1 network is the second-largest trans-Pacific subsea cable system, offering route diversity, PC-1's unparalleled reliability record and the advantage of the lowest latency across the Pacific. Through the acquisition of Pacific Crossing, NTT Com will combine its premier network assets in Japan and globally with the PC-1 network to provide enhanced connectivity between the United States, Japan and Asia.
NTT Com will retain the Pacific Crossing management team, led by CEO Mark Simpson. Pacific Crossing anticipates a smooth transition, ensuring that customers continue to receive the unmatched reliability and performance of the PC-1 network. Customers of Pacific Crossing will now have access to NTT Com's global infrastructure including a domestic Japan network capable of providing seamless connectivity between the PC-1 network and major communication hubs in Tokyo and Osaka, as well as the rest of Asia. Customers in mainland Asia will now be able to connect directly to Pacific Crossing's and NTT's combined twelve points of presence in the U.S., including Seattle, Los Angeles, Dallas, Chicago and New York.
"Pacific Crossing's customers have long appreciated the performance and reliability of the PC-1 network. With the addition of PC-1 to NTT Com's premier global network, a broader base of carriers and enterprise customers will now be able to utilize our system and recently expanded service offerings, including Gigabit Ethernet," said Mark Simpson. "Because of the synergies between NTT Com and Pacific Crossing, we view the acquisition as an exciting opportunity to build upon our recent successes and to expand access to our network."
The Blackstone Group L.P. acted as the exclusive financial advisor to Pacific Crossing on the transaction, and Latham & Watkins LLP served as Pacific Crossing's legal advisor. Houlihan Lokey acted as the financial advisor to NTT Com and Squire, Sanders & Dempsey LLP served as NTT Com's legal advisor.