The EQT Infrastructure IV fund (“EQT Infrastructure”) has agreed to acquire IP-Only (“IP-Only” or the “Company”) from the EQT Mid Market and Mid Market Europe funds (together “EQT Mid Market”) at an enterprise value of SEK 18,250 million (EUR 1.7 billion) plus an earn-out of up to SEK 1,000 million (EUR 94 million).
IP-Only owns and operates approximately 16,000 km of fiber network that, together with leased infrastructure, covers 230 of 290 municipalities in Sweden. The Company, through its Consumer division, started a nationwide roll-out of fiber to residential customers in 2014. Today IP-Only provides wholesale fiber access services to more than 200,000 households and has a large pipeline of additional homes in progress of being delivered. EQT Infrastructure is committed to supporting IP-Only in its continued contribution to achieving the Swedish Government’s broadband targets, meaning that 98 percent of the Swedish population will have broadband access by the end of 2025.
The Enterprise segment provides connectivity and data communication services to more than 3,000 corporate and public sector customers. The product offering focuses on the infrastructure layer of the communication stack and includes Internet, WAN and dedicated capacity services. IP-Only is also one of the largest providers of co-location data center services in Sweden.
Masoud Homayoun, Partner at EQT Partners and Investment Advisor to EQT Infrastructure IV, said: “EQT Infrastructure has a solid track record from developing strong fiber assets in the Nordics as well as globally, and we are impressed by the growth IP-Only has achieved over the previous years. IP-Only has developed into an infrastructure business with an excellent position in the market and it will continue to support digitization of households and businesses in the years ahead.”
EQT Infrastructure will continue to support the development of IP-Only and the realization of its full potential. This will entail a continued focus on growth, full commercialization of the Company’s extensive fiber network assets as well as operational and digital excellence. Within the Consumer segment, the key priority is to continue delivering on existing network expansion and densification plans. Within the Enterprise segment, the Company has a large remaining potential in addressing the approximately 40,000 business locations on- or near-net and in further developing its customer proposition.
The transaction is expected to close in June 2019.
Deutsche Bank AG and Morgan Stanley & Co. International plc acted as financial advisors and Advokatfirman Vinge acted as legal advisor to EQT Infrastructure IV.
Masoud Homayoun, Partner at EQT Partners and Investment Advisor to EQT Infrastructure IV, +46 8 506 55 376
EQT Press Office, email@example.com, +46 8 506 55 334
EQT is a leading investment firm with more than EUR 61 billion in raised capital across 29 funds and around EUR 40 billion in assets under management. EQT funds have portfolio companies in Europe, Asia and the US with total sales of more than EUR 21 billion and approximately 127,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.
More info: www.eqtpartners.com
IP-Only is a leading independent provider of fiber-based data communication and datacenter services in Sweden. IP-Only owns and operates a high-capacity fiber network linking the Nordic capitals as well as Sweden’s second and third largest cities Gothenburg and Malmo.
More info: www.ip-only.se