Fixed-wireless entities Airband Communications and Sparkplug Communications now are one, having completed a merger to create what they say will be the largest fixed-wireless company for U.S. businesses in 17 markets.
Airband delivers data services from 1 Mbps to faster-than-GigE speeds along with a suite of VoIP services, including hosted VoIP and VoIP/SIP trunking.
The combined company will continue as Airband Communications, headquartered in Dallas. Michael Ruley, formerly CEO of Sparkplug, becomes CEO of Airband. Tim Kinnear, formerly CEO of Airband, stays on as CFO.
The merged company will receive $20 million in financing as part of the transaction. Previous equity backers Ignition Partners, Key Venture Partners, M/C Venture Partners and Trilogy Equity Partners are leading the $11 million equity investment. In addition, Airband received $9 million in debt financing from Silicon Valley Bank and MMV Financial, earmarked for growth and acquisitions.
“Our companies share the belief that it’s critical to increase market penetration in existing territories and leverage the economies of scale we will realize with our combined networks and services,” commented Ruley. “As a combined entity, we will have the financial backing, network and human resources required to grow, organically and strategically, and to further enhance our competitive position in our markets.”
Added Kinnear, “This transaction supports Airband’s goal of deepening our service coverage and capabilities so more businesses have access to high-bandwidth data and enterprise-class voice services. The merger will create significant technology and operational efficiencies as we scale our service delivery capabilities to serve customers in our high-growth markets.”
Covered markets now include Atlanta; Austin; Baltimore; Dallas; Des Moines; Fort Lauderdale; Fort Worth; Houston; Las Vegas; Los Angeles; Miami; Orange County, Calif; Philadelphia; Phoenix; San Antonio; San Diego; and Washington, D.C.