AMP Capital Acquires Majority Stake In VX Fiber
21st September 2020
ICYMI: We wanted to share some exciting news for VX Fiber today. It has been announced that Global investment manager, AMP Capital has agreed to acquire a majority stake in VX Fiber, on behalf of investors in its infrastructure equity strategy – clearly demonstrating the healthy appetite in the market for AltNet providers who have an innovative approach to the FTTP market.
Swedish operator VX FIBER, which is also busy building gigabit-capable “full fibre” broadband ISP networks in parts of the UK (e.g. London, Stoke-on-Trent and Colchester), has today announced that global investment firm AMP Capital is to acquire a majority stake in the company and support it with new investment.
The operator tends to design, build and operate open access Fibre-to-the-Premises (FTTP) networks in various different countries and has developed its own proprietary software platform, which it operates on third parties’ passive fibre infrastructure as a fibre operator. The entire network is remotely run through a network operations centre (NOC) in Umea, Sweden.
As well as its existing projects in Sweden, South Africa and the UK, VXF is also in the process of “targeting an advanced pipeline of opportunities in the UK, Belgium, Austria and Germany.” Suffice to say that today’s announcement will provide some fuel for those plans.
Adam Ringer, Principal at AMP Capital, said:
“This is a highly attractive business with huge scope for growth. VX Fiber’s integrated hardware and software can be quickly deployed on new fibre networks offering genuine open access and high quality to broadband consumers and businesses, promoting choice in the market.
We have been investing in communications infrastructure for years and identifying the technologies that will deliver on infrastructure needs for the future. VX Fiber complements our existing digital infrastructure investments in North America and Europe. We are delighted to partner with Mikael Sandberg and Christian Widing, a highly credible management team with extensive experience building and operating fibre networks
VX Fiber’s robust growth pipeline offers us the opportunity to achieve an attractive return and deploy capital incrementally as the business continues expanding its own fibre network, whilst also paving the way to further grow the company’s pan-European fibre operator strategy.”
Mikael Sandberg, Chairman of VX Fiber, said:
“AMP Capital is one of the world’s largest and most sophisticated infrastructure investors and we are delighted to have AMP Capital as a partner to accelerate our growth strategy. Together with AMP Capital, VX Fiber is set to become a significant fibre owner and fibre operator in Europe. Full fibre and open access are the two main trends in the telecom industry today.
VX Fiber will continue with its successful fibre operator strategy partnering with owners of passive fibre infrastructure and inviting service providers of all types and sizes to sell their services over a rapidly expanding universe of consumer and business subscribers. With the significant investment from AMP Capital, VX Fiber can also continue as fibre owner, deploying full fibre access networks to complement other fibre networks.
I also want to thank Fort Knox Förvarinig AB, a Swedish family office with a dedicated venture capital arm, who, as a main shareholder, has financially supported VX Fiber since the start in 2014 through its rapid international expansion.”