After Crown Castle’s announcement that they would be acquiring Sunesys, and the company’s 10,000 miles of fiber, analysts were curious whether this is solely for their small cell undertaking or something else. Colby Synesael of Cowen and Company noted, “At $1 billion we can’t simply argue they are getting underutilized fiber assets that they can use for their small-cell strategy. We still like Crown as our favorite tower idea and think what they are doing makes sense, but we do think the deal means they’ve gone down a path that wasn’t previously considered.” During the quarterly conference call, it was made clear that this is the company’s fifth fiber acquisitions, including two other transactions discussed on the call, Access Fiber Group and another company. While both deals are much smaller than the Sunesys deal, they are crucial to the business plan. “At $1 billion (and 15x last twelve months EBITDA) we can’t simply argue they are getting underutilized fiber assets that they can use for their small-cell strategy,” Synesael explained. Continue reading here.