Elevate, a fiber-based service provider in Delta and Montrose counties, Colorado, has signed a stock purchase agreement to acquire TDS Telecom’s operations and assets in the counties.
Elevate is a subsidiary of the Delta-Montrose Electric Association (DMEA). The assets it is acquiring serve more than 16,000 subscribers. A TDS representative told Telecompetitor that the infrastructure includes “a collection of wireline assets, involving a combination of copper and fiber.”
“This purchase represents a monumental step forward for Elevate and Delta County residents,” Elevate President Jack Johnston said in a press release about the TDS asset acquisition.
“As the only locally owned fiber internet company in Montrose and Delta counties, this move allows us to expand our reach and capabilities to offer reliable, high-speed internet at affordable rates.”
Four TDS field service employees are expected to continue with Elevate. The deal is expected to close during the second quarter of the year.
DMEA has been in operation for 87 years. The Elevate subsidiary was established in 2016. TDS, which is based in Madison, Wisconsin, has more than 1.1 million customer connections nationwide. TDS has been active in Colorado since 1991 and will remain so.
The deal with Elevate is just the latest in a string of TDS divesting its assets. Last August, the company agreed to sell five cable systems in Texas. Systems in Seminole, Seagraves, and Denver City would go to Poka Lambro and systems in Alpine and Fort Stockton to Nevill Holdings. The deal was expected to close by the end of last year.
In late May, ILECs Amelia Telephone Corporation and New Castle Telephone Company were sold to RiverStreet Management Services LLC under an agreement that was expected to close during the third quarter of the year.
