Conterra Networks Announces New Equity Investment And Debt Facilities

Transactions Support Next Phase of Broadband Infrastructure Growth

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Conterra Ultra Broadband Holdings, Inc.

May 01, 2019, 08:30 ET

CHARLOTTE, N.C., May 1, 2019 /PRNewswire/ -- Conterra Ultra Broadband Holdings, Inc. ("Conterra Networks" or "Conterra" or "the Company') announced today Fiera Infrastructure Inc. ("Fiera Infrastructure"), a leading global mid-market direct infrastructure investor and an affiliate of Fiera Capital Corporation, has acquired an indirect equity interest in the Company from Court Square Capital Partners ("Court Square") and certain other indirect equity holders of Conterra, including members of Conterra's management team. Conterra is one of the largest independent fiber bandwidth providers in the United States with networks that span 21 states in the Southeast, South Central and Western United States. Fiera Infrastructure's investment in Conterra will be added to its open-ended global mid-market infrastructure fund.

Conterra, headquartered in Charlotte, North Carolina, is a national provider of bandwidth infrastructure services, specializing in the design, deployment and operation of customized broadband networks, largely in underserved areas. Conterra's 11,100-route mile fiber network brings high-capacity middle and last-mile broadband services to enterprise, carrier and education customers.

Conterra Networks also announced the closing today of $365 million of new first lien and second lien debt facilities, strengthening the Company's long-term capital structure and positioning it for further growth as a leading provider of fiber bandwidth services. A portion of the proceeds were used to repay all outstanding amounts under the Company's former credit agreements. Conterra's senior debt facilities will now be monitored and rated by Moody's and Standard & Poor's.

"We look forward to working together with our new business partner, Fiera Infrastructure, who shares our enthusiasm about Conterra's future growth prospects, commented Steve Leeolou, Conterra's Chief Executive Officer. "This is an exciting time for Conterra. The new investment by Fiera Infrastructure coupled with the continued support of Court Square and our lenders provides Conterra with additional resources to continue to respond to broadband opportunities in our underserved, Tier II and Tier III markets."

Evercore and TD Securities acted as financial advisors, and Dechert LLP acted as legal advisor, to Court Square and Conterra in connection with this transaction. Morgan Lewis served as Conterra's regulatory counsel.

About Conterra Networks

Founded in 2003, and now operating more than 11,000 fiber route miles, Conterra is one of the largest remaining independent broadband infrastructure companies in the United States based on its optical fiber and fixed wireless network assets and annual recurring revenues. The company is majority owned by Court Square Capital, with a minority stake now held by Fiera Infrastructure, and the remaining ownership largely held by Conterra's management team.

About Court Square Capital

Court Square is a middle market private equity firm with one of the most experienced investment teams in the industry. Since 1979, the team has completed over 225 investments, including several landmark transactions, and has developed numerous businesses into leaders in their respective markets. Court Square invests in companies that have compelling growth potential within the business services, general industrial, healthcare, and technology and telecommunications sectors. The firm has $6.2 billion of assets under management and is based in New York, N.Y. For more information on Court Square, please visit www.courtsquare.com.

About Fiera Capital Corporation

Fiera Capital Corporation is a global independent asset management firm with approximately C$136.7 billion in AUM as at December 31, 2018 delivering customized multi-asset solutions across traditional and alternative asset classes to institutional, retail and private wealth clients across North America, Europe and key markets in Asia. Fiera Capital strives to be at the forefront of investment-management science and is passionate about creating sustainable wealth for clients. Fiera Capital trades under the ticker FSZ on the Toronto Stock Exchange. www.fieracapital.com

In the U.S., asset management services are provided by the Firm's U.S. affiliates who are investment advisers that are registered with the U.S. Securities and Exchange Commission (SEC). Further, the Firm's affiliates Fiera Capital (UK) Limited and Fiera Capital (IOM) Limited are both registered as investment advisers with the SEC. Fiera Capital (UK) Limited is authorized and regulated by the Financial Conduct Authority in the United Kingdom and Fiera Capital (IOM) Limited is licensed by the Isle of Man Financial Services Authority. Registration with the SEC does not imply a certain level of skill or training.

Additional information about Fiera Capital Corporation, including the Firm's annual information form, is available on SEDAR at www.sedar.com.

SOURCE Conterra Ultra Broadband Holdings, Inc.