Frayed fiber optics: Zayo Group raises $400 million by pricing downsized IPO below range at $19

Zayo Group Holdings, a national provider of fiber optic bandwidth infrastructure and colocation services, raised $400 million by offering 21 million shares (24% insider) at $19, below the range of $21 to $24.

Zayo originally planned to raise $650 million by offering 28.9 million shares (62% insider) at the midpoint. At the revised price, Zayo commands a market value of $4.5 billion, about 14% less than its original proposed value.

The company plans to list on the NYSE under the symbol ZAYO. Morgan Stanley, Barclays and Goldman Sachs acted as lead managers on the deal.