Dutch investment firm KKR says it will acquire a majority stake in Deutsche Glasfaser, which constructs and operates fibre-optic networks in Germany and provides households and companies with high speed broadband connections. Deutsche Glasfaser is currently fully owned by Dutch private investment company Reggeborgh; in a joint effort, the two partners will provide the operator with the long-term capital to embark on an ambitious growth programme whereby approximately EUR450 million (USD488 million) is to be invested in the further rollout of fibre-optic infrastructure over the next few years. Founded in 2012, Deutsche Glasfaser focuses on the rural and suburban parts of Germany and is active across the entire value chain, from passive to active infrastructure up to acting as an internet service provider (ISP). As a fibre-to-the-home (FTTH) business, DG has already connected about 100,000 German households and companies to its network.
Johannes Huth, Member and Head of KKR Europe, Africa and Middle East, said: ‘We are excited to partner with Reggeborgh in building a top infrastructure company. With our capital resources and experience, we will bring Deutsche Glasfaser to its next stage of development and thereby also contribute to the ambitious Digital Agenda of the German government.’ The transaction is subject to customary closing conditions, including relevant antitrust clearance.