Client Company News
SOURCE: Daily Deal

BOSTON VENTURES INVESTS IN CABLE OPERATION

By Phineas Lambert
The Deal.com
09/23/2005

Buyout shop Boston Ventures said last week it invested $50 million in cabler Harron Communications LP.

The move came as part of an overall recapitalization of Fraser, Pa.-based Harron in partnership with the Harron family and management. Existing management will remain in place at the company and the family will retain seats on the board.

Harron owns cable TV systems that operate under the name MetroCast and serve about 110,000 customers located in New Hampshire, Maine, Pennsylvania, Maryland and Virginia.

Lou Bertocci, principal at Boston Ventures, would disclose neither the overall value of the recapitalization nor the stake his firm received for its investment. He would only say that Boston Ventures would receive two to three seats on the Harron board.

Boston Ventures has backed numerous cable companies in the past, including Continental Cablevision, Falcon Cable, First Carolina and Vista Broadband.

"We have been long-term cable investors and consider it one of our core investment areas, so it's right up our alley," said Bertocci.

Boston Ventures did not retain a financial adviser for the investment, but tapped Boston-based Choate Hall & Stewart LLP for legal services.

Harron looked to Morgan Lewis & Bockius LLP for legal counsel while New York boutique DH Capital served as financial adviser.

Bertocci, Tony Bolland and Copey Coppedge led the investment team for Boston Ventures.

Boston Ventures is currently investing its sixth fund, which has total committed capital of about $700 million.