Zayo finds customer for Memphis to New Orleans dark fiber

Zayo Holdings says it will supply dark fiber between Memphis and the greater New Orleans area to a "major U.S. telecommunications company." Zayo did not further identify the customer, who signed a 20-year indefeasible right of use (IRU) agreement.

The dark fiber for the deal comes from Zayo's existing inventory in the area, acquired from 360networks (see "Zayo expands again with 360Networks acquisition"). Zayo therefore will not have to install additional fiber to meet the customer's needs for higher capacity fiber across its network.

"This long-term transaction extends our relationship with an important customer," said Jacob Fuller, vice president of Dark Fiber Solutions, Southeast Region at Zayo. "It's an excellent example of the favorable economics of our business model: fully leveraging our in-place network to generate value for our customers and shareholders."

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