Business
Liberty Global, Telefónica and InfraVia Capital Partners form Joint Venture to Build a New Fibre Network in the UK Covering up to 7 Million Homes
Virgin Media O2 will be the Anchor Wholesale Client of the Joint Venture in Addition to Providing a Range of Technical Services The Joint Venture will be 50%
About this update from Liberty Global Ltd.
[{"type":"text","content":"\nVirgin Media O2 will be the Anchor Wholesale Client of the Joint Venture in Addition to Providing a Range of Technical Services\n\n\nThe Joint Venture will be 50% owned by Liberty Global and Telefónica, and 50% owned by InfraVia Capital Partners\n\n\nThe Joint Venture will construct and operate a wholesale fibre-to-the-home (FTTH) broadband network of up to 7 million premises that will not overlap with VMO2’s existing network \n\n\nThis network, alongside Virgin Media O2’s recently announced fibre upgrade project, will create a FTTH footprint of up to 23 million premises\n\n\nUnique deal combines the three partners’ infrastructure and financing expertise and UK operating experience, whilst leveraging VMO2’s industrial scale and network construction know-how\n\n\nThe Joint Venture will have exclusive access to VMO2’s construction expertise and substantially all new build activity at VMO2 will be migrated going forward\n\n\nTransaction expected to close by the end of 2022\n\n\nWill accelerate FTTH deployment in the UK, with approximately £4.5 billion investment supported by £3.3 billion of fully underwritten financing commitments and up to £1.4 billion in equity commitments\n\n\n DENVER, Colorado & MADRID & PARIS--(BUSINESS WIRE)--\n\nLiberty Global plc (“Liberty Global”) and Telefónica Infra, S.L.U, a wholly owned subsidiary of Telefónica, S.A. (“Telefónica”), together with InfraVia Capital Partners (“InfraVia”), a leading independent financial investment firm specialising in infrastructure and technology investments, have reached an agreement to set up a new Joint Venture (JV) that will roll out fibre-to-the-home (FTTH) to greenfield premises across the country. The partnership will initially roll out fibre to 5 million homes not currently served by Virgin Media O2’s network by 2026, with the opportunity to expand to an additional c.2 million homes. This investment of approximately £4.5 billion will provide a major boost to the nation’s digital economy and make a significant contribution to the Government’s gigabit broadband ambitions.\n\nLiberty Global and Telefónica will jointly hold a 50% stake in the JV through a holding company, with InfraVia owning the remaining 50%. Telefónica Group’s participation will be held through Telefónica Infra (its infrastructure unit).\n\nThe fibre network will be offering FTTH wholesale acces...