ALBANY -- Now that it has been acquired by a Boston private equity firm, Tech Valley Communications has some really big plans.
That includes expanding its fiber optic network to places like Schenectady, Saratoga Springs and Glens Falls and seeking out other companies to acquire throughout the Northeast.
"We're poised for some very significant growth," said Tech Valley Chief Executive Officer Kevin O'Connor . "It's a big deal for us."
Back in July, Tech Valley announced that Boston-based Riverside Partners would be making a "significant" investment in the telecommunications firm, and as it turned out, Riverside bought out Tech Valley's shareholders in a deal that put a portion of the equity into O'Connor's existing management team.
Financial terms of the deal have not been made public and are not included in regulatory filings made with the state Public Service Commission or the Federal Communications Commission , which both approved the deal.
O'Connor said Monday that Riverside has plans to hire 30 new employees as part of its expansion plan, which will also include expansion into Cohoes. He's excited also that management has a stake in the company.
"They're really pumped about this," O'Connor said.
The consummation of the deal comes at a time of extreme competition in the local telecommunications market. Verizon has set its sights on bringing its popular cable TV service to the Capital Region for the first time, while Time Warner Cable has been boosting its Internet speeds and offering a wireless Internet service.
Tech Valley, which serves mostly business customers in Albany County, has also been expanding into wireless services and has built a wireless Internet network in the city of Albany.
The two Riverside investment funds that acquired Tech Valley have some interesting backers, including Yale University , the Arkansas Teacher Retirement System , and the West Virginia Investment Management Board .
Tech Valley's expansion to Schenectady, Saratoga Springs and Glens Falls also comes at a time of significant business growth in those areas. In Schenectady, General Electric Co. has been expanding with the construction of an advanced battery factory and the establishment of GE's renewable energy headquarters there.
And the $4.6 billion computer chip factory being built by GlobalFoundries Inc. is expected to create thousands of new jobs and attract dozens of new companies to Saratoga Springs and even the Glens Falls area.
Larry Rulison can be reached at 454-5504 or by e-mail at lrulison@timesunion.com.
