Orange sells 50% interest in fibre unit Orange Concessions

25 Jan 2021

French telecoms operator Orange has established a fibre-optic unit Orange Concessions, with half of its interest in the new company to be sold to Caisse des Depots, CNP Assurances and EDF Invest. The unit – which boasts 23 public initiative networks (PIN) representing more than 4.5 million planned or built plugs – is valued at EUR2.7 billion (USD3.3 billion). The transaction, expected to close by the end of 2021, is aimed at easing the cost of rolling out fibre-optic connections to less-populated regions and extracting value from its infrastructure. Orange will hold a call option that will allow it to regain control and consolidate the unit in the future. Stephane Richard, Chairman and CEO of Orange, said: ‘Through this partnership, Orange holds the means to pursue the development of fibre in rural areas, by winning new public initiative networks or by participating in market consolidation. This is a key milestone in the delivery of our Engage 2025 strategic plan.’

France, Orange France