Article content

Montreal telecommunications firm Cogeco Communications Inc. (TSX: CGO) jumped the most in three months after agreeing to buy MetroCast from Harron Communications LP for $1.4 billion, increasing its U.S. footprint with its largest deal ever.

MetroCast’s cable networks cover 236,000 homes and business in New Hampshire, Maine, Pennsylvania and Virginia and are in faster-growing and higher-income communities than Cogeco’s existing U.S. presence, the company said in a statement Monday. Cogeco is buying the assets through its subsidiary, Atlantic Broadband.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Cogeco stocks buzzing after $1.4-billion MetroCast acquisition Back to video

“There is a long list of companies we would be interested in, but this was at the top of the list,” Louis Audet, Cogeco chief executive officer, said in a conference call. “The markets are attractive demographically and the competition is fragmented.”

Unlike other Canadian telecommunications companies, Cogeco has been expanding in the U.S. over the last several years. It bought Atlantic Broadband in 2012 for $1.36 billion, then went on to buy MetroCast’s Connecticut operations for $200 million in 2015. The family-controlled firm has been targeting U.S. cable deals that are too small for mega-players like Charter Communications Inc. and Altice NV.