ENGLEWOOD, Colo., Aug. 14, 2006, PRNewswire -- WideOpenWest, LLC announced today that it has reached an agreement to acquire SIGECOM, LLC, a provider of bundled communications services reaching over 75,000 residences and 5,500 businesses in the greater Evansville and Newburgh, Indiana markets. WideOpenWest is a provider of cable, digital cable, high-speed Internet and digital telephone services under the brand name "WOW!" in 114 municipalities reaching over 1.4 million households in Illinois, Indiana, Michigan and Ohio.
WideOpenWest enters into this agreement 100 days after being acquired by Avista Capital Partners. Avista Capital, based in New York, is a private equity firm focused on investment in the media, energy and healthcare sectors. SIGECOM is being acquired from Utilicom Networks, LLC, whose members include The Blackstone Group and Vectren Corporation. SIGECOM has provided cable, telephone and high-speed Internet services to Evansville, Newburgh and Vanderburgh and Warrick counties since 1999, and the company has recently started expansion to Chandler, Boonville and Mt. Vernon.
Colleen Abdoulah, President and Chief Executive Officer of WideOpenWest, said, "The WOW! team is extremely excited with this growth opportunity. SIGECOM's focus on delivering exceptional bundled value and the highest quality customer service is a strong strategic fit with WOW!'s operating philosophy. We are committed to continuing to serve customers in southern Indiana with an array of services which meets their needs, at a great value, backed by award winning customer service."
Bruce Jones, President and Chief Executive Officer of SIGECOM, said, "We are extremely pleased to be joining the WOW! family. Our two companies share the same commitment to serving our customers and our employees with excellence. Being part of WOW! will bring SIGECOM greater resources with which to serve our communities, and provide SIGECOM with expanded opportunities for growth and development."
David Burgstahler, a partner of Avista Capital Partners, said, "Just 100 days after acquiring WOW!, it has already proven to be the perfect strategic fit for Avista's interests in the media sector. With its acquisition of SIGECOM, the WOW! management team has demonstrated what attracted us to the business in the first place: the capability to grow strategically while maintaining compelling customer offerings and greater customer service. We look forward to the invaluable contributions SIGECOM will be adding to this organization."
Waller Capital, a New York-based Investment Bank, initiated this transaction and served as financial advisor to SIGECOM. Credit Suisse acted as financial advisor to WideOpenWest.
The terms of this agreement were not disclosed. The sale is expected to close in the fourth quarter of 2006.
WOW! is a competitive provider of cable television, high-speed Internet, and telephone services. WOW! Cable features Basic Cable, Digital Cable, and advanced services such as HDTV and DVRs. WOW! Internet provides customers with a choice of high-speed connections from 112kbps all the way to 6Mbps. WOW! Phone offers the convenience of unlimited local, long distance, and local toll calling in the United States. Customers can bundle any two or all three services together at a great value, while benefiting from the convenience of dealing with just one company for all their entertainment and telecommunications needs. WOW! serves customers in the greater Chicago, Illinois; Detroit, Michigan; Cleveland and Columbus, Ohio markets. http://www.wowway.com
SIGECOM is a competitive provider of cable television, high-speed Internet, and telephone services. The Company serves residential and business customers in the greater Evansville and Newburgh, Indiana markets. SIGECOM provides service through a variety of bundled packages which can be customized to serve individual needs, featuring Basic Cable, Digital Cable, a choice of four high-speed Internet connections and a host of telephone features. SIGECOM also offers businesses of all sizes a full spectrum of telephone and Internet services, including Centrex and Virtual LAN solutions. http://www.sigecom.com
About Avista Capital Partners
Avista Capital Partners is a private equity firm with offices in New York, NY and Houston, TX. The firm was founded in 2005 by seven former Partners and nine former professionals from DLJ Merchant Banking Partners, the private equity affiliate of Credit Suisse Group. Avista's strategy is to make controlling or influential minority investments primarily in growth-oriented media, healthcare and energy companies. Through its team of seasoned investment professionals and industry experts, Avista seeks to partner with exceptional management teams to invest in and add value to well-positioned businesses. http://www.avistacap.com
WideOpenWest, LLC: Cathy Kuo (720) 479-3518
SIGECOM, LLC: Bruce Jones (812) 305-0485
Avista Capital Partners: Diana Postemsky, Kekst & Co. (212) 521-4805