The headquarters of Brookfield Asset Management in New York in May. Brookfield Infrastructure Partners has struck a deal to buy internet service provider Hotwire.DAVE SANDERS/The New York Times News Service
Brookfield Infrastructure Partners BIP-UN-T has struck a deal to buy internet service provider Hotwire Communications, valuing the company at around US$7-billion, including debt, people familiar with the matter said on Friday.
Hotwire is being acquired from current owner Blackstone BX-N, which holds the investment across both its Infrastructure Partners and Tactical Opportunities arms.
The people spoke on condition of anonymity to discuss confidential information ahead of a formal announcement, which was expected shortly, per one of the sources.
Blackstone and Brookfield both declined comment.
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The Wall Street Journal first reported the news, citing people familiar with the matter.
Co-founded in 2000 by Michael Karp and Kristin Johnson, Hotwire provides fibre network internet service to consumers, with a focus on commercial and community-living customers, according to its website.
Blackstone bought the company in 2021 for an undisclosed amount, and helped grow the business, including expanding its operations from its original four-state footprint in the U.S. Southeast. Hotwire now offers internet in nine states, including Texas, California and Pennsylvania.