CityFibre raises GBP1.125bn in financing to support and accelerate network deployment

17 Sep 2021

British pure fibre provider CityFibre has secured GBP1.125 billion (USD1.55 billion) in its latest capital raise, claiming the financing to be ‘the largest capital raise ever dedicated to Full Fibre deployment in the UK’, and saying it will support and accelerate its network deployment which aims to reach a third of the UK by 2025.

In a press release regarding the development, the company confirmed that the capital includes new equity investments from Abu Dhabi’s Mubadala Investment Company (Mubadala) and Interogo Holding, a foundation-owned investment group; these companies will join CityFibre’s existing investors Antin Infrastructure Partners and the Infrastructure business within Goldman Sachs Asset Management (Goldman Sachs), as minority shareholders. Meanwhile, CityFibre said it had also secured a GBP300 million extension of its existing GBP820 million banking facilities, with Credit Agricole CIB, and National Australia Bank joining the syndicate alongside other major global financial institutions that were ‘demonstrating their continued support’, including ABN Amro, Banca IMI, BNP Paribas, Lloyds, NatWest, and Societe Generale.

Commenting, CityFibre CEO Greg Mesch said: ‘This new capital will not only underpin our rollout to up to eight million homes across 285 cities, towns and villages, but will also enable our participation in the Government’s ‘Project Gigabit’ programme to extend our future-proof infrastructure to rural areas and ensure no one is left behind.’

United Kingdom, CityFibre (incl. FibreNation)