Mergers & Acquisitions

Mergers & Acquisitions

July 20, 2011

Level 3 Receives Department of Justice Request

Level 3 Communication, Inc., an international provider of fiber-based communications services recently revealed that the company and Global Crossing (News - Alert) Limited have received from the U.S. Department of Justice a request for additional information commonly referred to as a "second request" under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 regarding its proposed merger.

The announcement follows to Level 3's previously announced acquisition of Global Crossing, the global IP solutions provider. Level 3 official said the company plans to respond to the request appropriately. 

Level 3 continues to expect that the transaction will close before the end of this year, as previously announced.

Level 3 has been delivering services to several enterprise, content, wholesale and government customers. Level 3 offers a portfolio of metro and long-haul services, including transport, data, Internet, content delivery and voice. The company announced the launch of a new ultra-low-latency fiber-optic route to increase trading speeds between London and Frankfurt. The new route will also allow banks, hedge funds, brokers and other financial services institutions to execute trades with lower latency between additional exchanges connected to the Level 3 network including Zurich, Milan, New York and Chicago.

Earlier in May 2011, TMC reported that Level 3 Communications (News - Alert) was acquiring networking company Global Crossing in a stock deal valued at $3 billion. The combined company, as indicated, will provide fiber optic connections to more than 70 countries on three continents and comes about three weeks after US telecom giant AT&T's (News - Alert) $39 billion proposed acquisition of T-Mobile USA. "This is a transformational combination that we believe will deliver significant value to the investors, customers and employees of both Level 3 and Global Crossing," said Level 3 chief executive Jim Crowe, in that release.

Meenakshi Shankar is a TMCnet contributor. To read more of her articles, please visit her columnist page.

Edited by Rich Steeves

blog comments powered by Disqus

FREE eNewsletter

Financial Technology Industry News