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Cordiant Digital Infrastructure Ltd on Thursday said it has agreed to buy Speed Fibre DAC from the Irish Infrastructure Fund for an enterprise value of €190.5 million.
Cordiant Digital Infrastructure is a specialist digital infrastructure investor managed by Cordiant Capital Inc. Speed Fibre operates 5,400 kilometres of owned and leased broadband fibre and wireless backhaul across Ireland. Wireless backhaul uses wireless communications to connect wired data networks.
The network is open access. Speed Fibre provides dark fibre, wavelength and ethernet services to a telecommunications carriers, internet service providers, corporations, and the Irish government.
Speed Fibre recorded earnings before interest, tax, depreciation and amortisation of €23 million on revenue of €80 million in 2022.
The equity portion of the price tag is €97 million, which Cordiant Digital Infrastructure said it will fund through €68 million in cash and a €29 million vendor loan note. This has an initial interest rate of 6% and a term of four years.
Speed Fibre had €111 million in gross debt back in December, maturing in 2029, balanced by €19 million in cash.
Cordiant Digital Infrastructure shares were up 0.2% to 71.31 pence in London early Thursday. The stock is down 33% over the past 12 months.
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