Private equity firms EQT Infrastructure Fund IV and OMERS have closed their joint acquisition of German fibre-optic network company Deutsche Glasfaser, after the transaction received regulatory approval. First announced in February this year, the acquisition will see Deutsche Glasfaser combined with EQT portfolio company inexio to form a ‘leading FTTH player in rural Germany’. EQT will own 51% in the combined group and OMERS will hold the remaining 49%. The new owners plan to invest EUR7 billion (USD7.6 billion) in expanding FTTH coverage to six million German homes in the medium term.
Originally founded by investment company Reggeborgh in 2011, in mid-2015 KKR became the majority owner of Deutsche Glasfaser, which today owns and operates an open access FTTH network reaching more than 400 municipalities and passing around 700,000 households and over 5,000 businesses.