Level 3 ( LVLT) agreed to acquire Illinois-based fiber outfit Looking Glass Networks for $96 million of cash and stock.

Looking Glass provides data transport services to about 215 buildings in 14 cities, with an additional 250 buildings wired with dark fiber. The company is expected to do up to $10 million of cash flow on revenue of $75 million to $80 million this year, with cash flow rising to up to $40 million following its integration with Level 3.

"Looking Glass has a strong base of customers who buy a wide range of transport services in the largest U.S. metro markets," Level 3 said. "We believe they will benefit greatly from the combination of our existing platform with the advanced capabilities and reach of Level 3's broad network and services."

The deal expected to close in the third quarter. In addition to the acquisition price, Level 3 agreed to pay off $69 million of Looking Glass debt.

Level 3 closed at $5.02 on Friday.