Lincoln-based Nelnet has sold a controlling share of Allo Communications to a private equity firm, SDC Capital Partners.
The $197-million dollar deal gives SDC a 48% ownership stake in Allo.
Nelnet had purchased 92.5% of the outstanding equity in Allo in December 2015. The new partnership agreement with SDC is expected to close by the end of the month.
Both firms say the $197-million dollar deal provides funds needed for future expansion and growth in the midwest for the fiber telecommunications company. New third-party debt will also be obtained for the expansion.
Allo has been building modern fiber networks in Nebraska and northeast Colorado since 2004 in addition to providing traditional phone service.