CityFibre completes its acquisition of FibreNation in the UK, boosting its FTTH rollout plans to 8m premises
TalkTalk Group shareholders have provided formal approval for CityFibre to acquire FibreNation
CityFibre has announced that it has completed its planned acquisition of TalkTalk’s FibreNation for an undisclosed fee, according to a company release.
The UK’s third largest fibre network provider said that the acquisition would allow it to increase its fibre to the home penetration target from 5 million homes by the mid-2020s to 8 million.
FibreNation was launched in 2018 and has a strong presence across the North of England, particularly in Yorkshire. The acquisition will help CityFibre scale out its regional reach across the UK.
“In the face of the rapid spread of the Coronavirus and its unprecedented impact on the UK’s society and economy, we believe that the need for world-class digital infrastructure has never been greater.
“Completing our acquisition of FibreNation marks an acceleration in our ability to deploy the critical future-proof digital infrastructure our country needs. By significantly expanding our rollout ambition to up to 8 million premises, CityFibre is helping to answer the call for a full fibre Britain,” said Greg Mesch, Chief Executive at CityFibre.
As part of the deal, TalkTalk will also become one of CityFibre’s customers, providing full fibre network access to its customers via CityFibre’s FTTH network.
“With TalkTalk now joining our networks to offer full fibre services to their residential and business customers, we look forward to working with our new FibreNation colleagues to maximise the benefit of our rollouts,” Mesch said.
The deal will allow TalkTalk to offer gigabit plus broadband speeds to its customers across the country.
“Now more than ever, reliable and affordable connectivity should be available to every single home in Britain, and this agreement shows that a full fibre future can be delivered through competition and investment by many players. CityFibre’s ambitions to take forward our hard work with FibreNation over the last five years, should take us a step closer to that fully connected Britain,” said Tristia Harrison, chief executive of TalkTalk.
“The sale of FibreNation to CityFibre, in combination with a competitive wholesale agreement, enables us to continue our strategy to accelerate TalkTalk’s fibre growth for our residential and business customers, thereby delivering a superior customer experience at an affordable price,” she added.
CityFibre’s increased rollout plan will now reach up to 8 million premises across the UK by the mid-2020s, reaching 100 towns and cities, and is estimated to create up to 7,000 construction jobs outside of London. To date, CityFibre has identified 62 towns and cities to benefit from its rollout.