Cogent Communications (NasdaqGS: CCOI) examined the long-haul assets of Qwest Communications (NYSE: Q) and opted not to pursue an acquisition of them because the asking price was too high relative to its profitability, Cogent Chief Executive Officer Dave Schaeffer said at an investor conference today.

“The combination of the management’s expectation of valuation coupled with [its] negative cash flow quickly led us to conclude that we were not going to be an active bidder on that asset,” Schaeffer said in response to a question. more