Consolidation is reshaping the IT industry, and it’s showing few signs of slowing down. Lightower recently announced it is still exploring a sale of $7 billion plus debt. Should Lightower not get an offer that meets its valuations, the provider may pursue an IPO.

News of the sale is putting major players like CenturyLink, Zayo Group Holdings, and Crown Castle International Group on alert. Telecom providers, including Lightower, are looking to capitalize on sky-rocketing demand for fiber services and high-speed data transfers.

Acquiring Lightower would help a buyer dramatically grow their fiber network and better cope with today’s higher Internet traffic, gifting them some 33,000 additional fiber miles. For a company like CenturyLink that already agreed to buy Level 3 last year, the acquisition of Lightower would give them a massive competitive advantage in the fiber market.

A sale offers many benefits to Lightower as well. In addition to being able to settle debts, the provider would potentially be able to diversify its portfolio and expand its reach, better positioning itself to compete in the fast-consolidating marketplace.

Overall, news of Lightower’s sale underscores consolidation trends throughout the industry. Numerous telecom companies have gone through mergers or acquisitions, including TPG’s acquisition of RCN and Oxford Networks merging with FirstLight Fiber last year. It’s a safe bet to expect more acquisitions as the year rolls on and companies shift to keep up with the growing demand for high-capacity networking.

To learn more about Lightower’s sales plans, read Reuters’s press release now. 

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