MidOcean Partners and Crestview Partners announced today that they have entered into an agreement to sell San Juan Cable (dba OneLink Communications) for an enterprise value of $585 million, or approximately 8x LTM Q1 2012 Adjusted EBITDA, to Liberty Global. OneLink is the largest provider of cable TV, high-speed data and telephony services in Puerto Rico. The transaction is expected to close in the fourth quarter of 2012.
MidOcean and Crestview, together with co-investors and management, acquired OneLink in October 2005 from Adelphia Communications. At the time, its services were limited to basic and digital cable TV and high-speed data. Rebranded as OneLink Communications under MidOcean and Crestview’s ownership, the company upgraded its plant to 860 MHz; expanded its high-speed data service offering; launched telephony services, VoD and HD/DVR services; and launched an all-digital system transition that is expected to be completed in 2012.
“We are proud of everything we have been able to accomplish at OneLink. OneLink is now a best-in-class cable company with a strong commitment to providing outstanding products and service to our valued customers in Puerto Rico. We are leaving our customers and employees in good hands with Liberty Global and Searchlight, who are very experienced cable operators and investors,” said Jeffrey Marcus, Partner at Crestview and a long-time cable industry veteran.
MidOcean Partners is a private equity firm focused on the middle market. MidOcean seeks companies with stable market positions and multiple opportunities for growth. Industries of interest include consumer, media and communications, business and financial services and industrial services. The firm has offices in New York, NY and London, UK (www.midoceanpartners.com).
“We have enjoyed a successful partnership with OneLink’s management team, led by Ron Dorchester, all of whom have done a great job growing the business during our ownership,” said Tyler Zachem, Managing Director at MidOcean. “As a result of the team’s hard work, OneLink’s customers now enjoy superior product offerings across video, high-speed data and telephony, and will benefit even more in the coming months from the pending completion of the company’s all-digital conversion.”
Crestview Partners is a $4 billion private equity firm which invests from $100 million to $250 million in equity in companies with enterprise values up to $3 billion. Sectors of interest include media, financial services, healthcare and energy. The firm is based in New York, NY (www.crestview.com).
Kirkland & Ellis served as legal advisor to MidOcean and Crestview.
