ImOn to be bought by Goldman Sachs

Cedar Rapids-based broadband provider ImOn Communications said it has reached an agreement to be acquired by a division of Goldman Sachs Asset Management.

The acquisition, by Goldman Sachs’s infrastructure investing business, will support ImOn’s expansion of its high-speed fiber network in the surrounding markets, the provider announced Thursday.

As part of the transaction, New York City-based Goldman Sachs will make new investments “to help accelerate ImOn’s growth in fiber-to-the-premise data, video and voice services to homes and businesses throughout Eastern Iowa and surrounding markets,” the companies said in a joint new release Thursday.

Financial terms of the deal were not disclosed.

The transaction is expected to close in the first half of 2022 and is subject to obtaining customary regulatory approvals, the release said.

More specifically ImOn will complete its network build out to residences and businesses in the Cedar Rapids metropolitan area, Iowa City, Coralville and Dubuque in the next three years, Lisa Rhatigan, ImOn vice president of customer experience, told The Gazette in an email Thursday.

ImOn was founded in 2007 as a single-market cable provider. Today it owns and operates a more than 2,000 miles of network that reaches more than 60,000 households and businesses, it said.

Goldman Sachs, a multinational investment bank, was founded in 1869 and is traded on the New York Stock Exchange. It reported revenue of $44.6 billion as of 2020.

“The ImOn difference is our high-quality fiber-optic broadband network, our commitment to providing the highest level of customer service, and our support of the communities we serve,” Patrice Carroll, founder and CEO of ImOn, said, in the release.

“Goldman Sachs shares our values and supports ImOn’s vision. They will be a great partner to help us implement our ambitious growth plans.”

Leonard Seevers, a partner leading digital infrastructure investing within Goldman Sachs Asset Management, said, "Increasing usage and reliance on broadband connectivity by households and businesses create a highly attractive growth opportunity for ImOn to deploy FTTP infrastructure.

“We are incredibly excited to partner with Patrice and the rest of the ImOn management team, and to be ImOn’s strategic and capital partner as it executes this next phase of growth.”

"We are thrilled by this opportunity to back an established local management team with a proven track record of delivering high-quality services," said Scott Lebovitz, co-chief investment officer of the Infrastructure investing business within Goldman Sachs.

“Together, we are confident that we can continue to expand a best-in-class FTTP business driven by ImOn’s strong market position and reputation for exceptional customer care, and further supported by Goldman Sachs’ extensive resources and network.”