Dycom Industries, Inc. and Goodman Networks Incorporated have announced that they have entered into an agreement that will have Dycom acquiring certain assets from Goodman used in their current wireless network deployment and wireline businesses for approximately $107.5 million in cash.
Both companies informed Wireless Estimator that they would not be identifying what those assets are, other than that the acquired businesses from Goodman provide wireless construction services in Tex., Ga., Southern Calif. and other markets.
However, Dycom might be buying Goodman’s infrastructure services segment which includes their turfing operations which provides management services to deploy, upgrade, maintain or decommission wireless and wireline outdoor networks for carriers.
In a joint press release, Goodman said it expects the transaction to enable the company to shift its strategic focus towards its field services and professional services business segments while continuing to de-leverage and strengthen its financial position.
Goodman’s field services segment provides installation and maintenance services to DIRECTV. The company has an agreement that extends through 2018.
Amongst other areas in their professional services group, Goodman provides backhaul design, engineering and integration, in addition to engineering and installation of small cell and DAS networks.
Over 90% of the company’s revenues come from AT&T, according to a financial filing.
Last year, in one swath, Goodman laid off 340 employees.
Goodman reported 2016 quarterly revenues ending March 31 of $129.9 million versus $213.4 million in 2015 with a loss of $11 million versus $29 million.
With their corporate office in Palm Beach Gardens, Fla., Dycom has a workforce of over 12,000 employees in more than 500 field offices. Their last quarter, ending April 31, showed revenues of $664.6 million and a net income of $33.1 million.
The acquisition is expected to be completed by June 30, 2016.