Swedish financial investor EQT, together with Canadian pension funds OMERS, has agreed to acquire German fibre-optic network operator Deutsche Glasfaser from KKR and Reggeborgh.
Financial details were not disclosed. Founded in 2011, Deutsche Glasfaser provides high-speed internet access to more than 600,000 households and 5,000 businesses via its network spanning across 30,000 kilometres.
As expected, EQT intends to merge Deutsche Glasfaser with inexio, the fibre-optic network operator the financial investor acquired in September 2019, to achieve synergies and gain more strength. In total, the group plans to invest more than €7 billion in rural fibre-optic (FTTH) deployment over the next years.
“We are excited to welcome EQT and OMERS as our new owners and we are fully aligned to further develop Germany’s digital infrastructure. With the industry experience and financial support from EQT and OMERS, Deutsche Glasfaser is well-positioned to take the next step on our growth journey and accelerate the fibre roll-out across Germany,” said Uwe Nickl, CEO of Deutsche Glasfaser. “On top, we as a management team are excited to join forces with inexio, which will help us to combine our highly complementary skill-sets and to further accelerate our growth.”
David Zimmer, CEO of inexio, added: “The inexio management team is looking forward to the opportunity of building a leading FTTH provider in Germany with the support of EQT and OMERS, alongside our fellow colleagues at Deutsche Glasfaser.”
Subject to antitrust clearance, the transaction is expected to close in Q2 2020.
