May 29, 2009 (FinancialWire) — FiberNet Telecom Group, Inc. (NASDAQ: FTGX) (Current Market Cap: US$75.98 Mil.) said it has entered into a definitive agreement and plan of merger with Zayo Group, LLC and its Zayo Merger Sub subsidiary.

Under the deal, each share of FiberNet Telecom Group common stock issued and outstanding immediately prior to the effective time of the merger will be entitled to receive $11.45 in cash.

The transaction is subject to the approval of FiberNet’s stockholders at a special meeting, FCC and state regulatory approvals, and customary conditions. The transaction is not subject to any financing condition, according to FiberNet.

FiberNet’s board has approved the agreement and recommended the adoption of the agreement by FiberNet’s stockholders. The transaction is scheduled to be completed during the third quarter of 2009.

FiberNet said it will solicit superior proposals from third parties until June 17.

New York-based FiberNet Telecom Group owns and operates integrated colocation facilities and transport routes in the markets of New York and New Jersey, Los Angeles, Chicago and Miami.

The company’s systems are designed to provide broadband interconnectivity enabling the exchange of traffic over multiple networks.

Louisville, Colorado-based Zayo Group is a regional provider of telecom services, including bandwidth, voice and managed services, to carrier, enterprise, SME and government customers. Zayo Group currently provides its service over a fiber network that spans 129 markets in 23 states.

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