Telephone & Data Systems said it has signed a non-binding letter of intent to acquire Sun Prairie Utlities, a municipal broadband operator in Wisconsin. Terms were not disclosed.
The deal, which is expected to close by the end of March, is the second in two months for TDS. In January, the telecom company closed its purchase InterLinx Communications, which provides wholesale fiber connections to businesses in in southern Utah.
Sun Prairie Utilities is an electric service provider in Sun Prairie, Wis., and first built a fiber broadband ring to provide high-speed data service to the community in 1998. TDS has said it will invest in the network over the next two years to extend broadband service to the bulk of the area. TDS is also exploring making fiber service available to future business developments, within the city, to help foster business growth and attract more economic development projects.
“SPU has built a strong fiber broadband network and has worked hard to expand broadband capacity in Sun Prairie for its citizens,” said TDS vice president of External Affairs and Communications Drew Petersen in a statement. “We plan to expand the network to launch 1Gigabit broadband speeds, as well as phone service, and our industry leading IPTV solution, TDS TV, to residents. For businesses, we would look at providing dedicated fiber connections and our hosted VoIP phone solution, TDS managed IP Hosted.”