EC approves joint control of Deutsche Glasfaser by KKR and Reggeborgh

8 Sep 2015

The European Commission (EC) has approved a deal between investment firm KKR and Dutch private investment company Reggeborgh for joint control of 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 Reggeborgh, but in a joint effort announced in July, Reggeborgh and KKR will provide the operator with the long-term capital to embark on an ambitious growth programme, whereby around EUR450 million (USD488 million) will be invested in the further rollout of fibre-optic infrastructure over the next few years. The EC has concluded that the proposed acquisition would raise no competition concerns, given the companies’ negligible combined market shares and the existence of other strong competitors.

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, Deutsche Glasfaser has connected about 100,000 German households and companies to its network.

Germany, Deutsche Glasfaser, Kohlberg Kravis Roberts & Co (KKR)