For Immediate Release – April 22, 2023
SOUTHFIELD, MI — Grain Management LLC, a trusted solutions provider to the broadband and communications industry, announced today that it has agreed to acquire a majority interest in 123NET, a premier fiber internet, colocation, and business voice services provider based in Michigan.
123NET has been at the forefront of Michigan connectivity since its founding in 1995. The Company has built an expansive 3,100 route mile network including long haul and dense metro fiber network in Michigan’s largest cities. 123NET’s network is further enhanced by Michigan’s largest carrier hotel and its high-density data centers in metro Detroit and Grand Rapids. 123NET’s innovative internet exchange quickly became the world’s largest fee-free exchange and North America’s ninth highest traffic exchange overall.
“123NET’s operations have continuously grown through a series of strategic investments that ultimately created one of the Midwest’s largest and most significant telecom enterprises,” said Dan Irvin, 123NET Chief Executive Officer. “Grain is a sophisticated investor that shares our values and unwavering commitment to best-in-class service for Michigan businesses and communities. Together, our capable teams and combined resources will better enable us to serve current customers while attracting new opportunities, including expanding our high-density, A.I.-capable data centers and pursuing BEAD funding to improve affordable, reliable connectivity to unserved and underserved areas.”
“Grain’s partnership with 123NET is the culmination of a multi-year relationship with this long-standing and experienced management team, and we are thrilled to be partnering with them,” said Raghav Nayar, Managing Director at Grain. “We think very highly of the disciplined, analytics-driven culture at 123NET, and we believe our synergy enables us to achieve even greater results together.”
Bank Street LLC serves as exclusive financial advisor to 123NET in connection with the transaction. 123NET’s leadership team will remain in place and retain a meaningful ownership position.
