The new strategic relationship between Lumen and Cirion benefits both companies’ customers
DENVER, in 2022 August 1 /PRNewswire/ — Lumen technologies (NYSE: LUMN) announced today that it has officially closed the sale of its Latin American operations to Stonepeak. 2.7 billion dollars cash. This Latin American business is called Cirion and operates as an independent Stonepeak portfolio company.
- Lumen and Cirion have formed a strategic relationship to serve both companies’ customers in the region, who will benefit from this ongoing association.
- The 2.7 billion dollars the transaction provides additional capital to enable Lumen to invest in key growth areas and support the company’s other capital allocation priorities, including ongoing debt repayment.
- Stonepeak appointed Lumeno as president of the LATAM region, Facundo Castro, as Cirion’s new CEO and will retain the current executive team and existing employees. Cirion has also added several new recruits to the company’s management team in recent months, all of whom have extensive experience in the sector across the region.
For more information on today’s announcement, visit here: https://news.lumen.com/image/LATAM-Cirion-Transaction-FAQ.pdf
“This sale is an important step towards achieving Lumen’s strategic goals as we focus on key strategic assets as well as provide our LATAM employees and customers with the opportunity for continued growth,” he said. Jeff Storey, President and CEO of Lumen. “This transaction also provides long-term growth for our Lumen platform, allowing Lumen to invest in a strategic mix of assets and alliances that allow us to deliver what our customers want anywhere in the world.”
Lumen and Cirion have established a strategic relationship to serve customers in the region. These include mutual resale and network agreements that leverage each other’s large fiber footprints, data centers and other network resources.
“We share Jeff’s excitement about the Cirion opportunity Latin Americagiven the platform’s large footprint and ambitions to further expand its fiber and data center network across the region,” he said. Andrew Thomas, CEO and Head of Communications at Stonepeak. “We are excited to partner with the Cirion team and apply our experience as active investors in global digital infrastructure to drive sustainable long-term growth.”
About Lumen Technologies and the Lumen people:
Lumen is guided by our belief that humanity is at its best when technology advances the way we live and work. With approximately 450,000 route miles of fiber and serving customers in more than 60 countries, we offer the fastest and most secure application and data platform to help businesses, government and communities deliver amazing experiences. Learn more about Lumen’s network, edge cloud, security, communication and collaboration solutions, and our goal of furthering human progress through technology at news.lumen.com/home, LinkedIn: /lumentechnologies, Twitter: @lumentechco, Facebook: /lumentechnologies, Instagram: @lumentechnologies and YouTube: /lumentechnologies. Lumen and Lumen Technologies are registered trademarks in the United States.
Stonepeak is a leading alternative investment firm specializing in infrastructure and real estate with approx 49.3 billion managed assets. By investing in defensive, resource-rich companies around the world, Stonepeak strives to create value for its investors and portfolio companies and to positively impact the communities in which it operates. Stonepeak supports investment vehicles focused on private equity and credit. The firm provides capital, operational support and committed partnerships to sustainably increase investment in targeted sectors, including communications, energy transition, transport and logistics, and social infrastructure. Stonepeak is headquartered in the city New York with offices Austin, Hong Kong, Houston, London and Sydney. For more information, please visit www.stonepeak.com.
Cirion is a leading digital infrastructure and technology provider offering a comprehensive suite of fiber optic network, connectivity, communication, cloud infrastructure and communication and collaboration solutions to drive Latin America’s advancement through technology. Cirion serves more than 6,400 Latin Americaestablished and international customers including enterprises, government agencies, cloud service providers, wireline and wireless carriers, ISPs and other leading companies. Cirion owns and operates a device-based network and data center portfolio with extensive global coverage Latin America in the region. Learn more about Cirion at www.ciriontechnologies.com
Other than the historical and factual information contained herein, the matters set forth in this press release, including statements about the expected revenue of transactions and benefits of transactions and alliances, and other statements identified by words such as “estimates,” “expected,” “projects,” “plans,” “will”, “will” and similar expressions are forward-looking statements within the meaning of the 1995 In the “safe harbor” provisions of the Private Securities Litigation Reform Act. These forward-looking statements are subject to numerous risks, uncertainties and assumptions, many of which are beyond our control. Actual events and results could differ materially from those anticipated, estimated or projected if one or more of these risks or uncertainties materialize or if underlying assumptions are incorrect. Factors that could affect actual results include, but are not limited to: the possibility that the anticipated benefits of transactions and alliances may not be fully realized as anticipated; the possibility that it may be more difficult than anticipated to separate the Company’s Latin America business from its other businesses in connection with the divestiture; the possibility that the Company may be required to pay higher taxes than anticipated, make unanticipated payments under transaction agreements or otherwise receive less cash than expected; Changes in the Company’s cash needs, financial position or business, operational or financial plans; the impact of competition from various competing suppliers; the buyer’s ability to successfully maintain the quality and profitability of its offered products and services and to present new offers in a timely and cost-effective manner; and other risk factors and cautionary statements detailed from time to time in the Company’s reports filed with the US Securities and Exchange Commission. You should be aware that new factors may arise from time to time and it is impossible for us to identify all such factors, nor to predict the impact of each such factor on transactions and alliances. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Unless required by law, the Company assumes no obligation and expressly disclaims any such obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Lumen Technologies
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