Minnesota broadband provider Arvig has completed an agreement to buy a fiber network from ALP Utilities. The network serves about 130 businesses in the city of Alexandria, MN.
ALP Utilities is a community-owned municipal utility that provides residential and commercial electric and water services to the area in and around Alexandria. The company had partnered with Runestone Electric Association to build the network in the late 1990s, starting with dial up service and later expanding into fiber for local businesses.
Arvig will assume ownership and management of the fiber network, which includes 77 route miles of fiber throughout the city and another 13 miles of conduit, while also retaining all of the network’s existing business customers.
The network greatly expands Arvig’s presence in the Alexandria area and Douglas County, according to a press release. Arvig and ALP Utilities say they expect a seamless transition and customers can count on the same high-quality service as before.
“Fiber is at the core of everything we do,” David Arvig, the company’s vice president and chief operating officer, said in a prepared statement. “This purchase aligns perfectly with our strategic priorities to grow our presence in the Alexandria area and it positions us to provide the same high quality fiber services to both business and residential customers.”
There has been a considerable amount of consolidation among Tier 2 and 3 providers in recent years. But it’s relatively uncommon for a Tier 2 or Tier 3 provider to acquire the broadband operations of a local electric company as Arvig has done.
