Dutch telecoms infrastructure provider Reggefiber has completed a €84.5m (US$114.7m) private bond placement to private equity firm Aviva Investors.
The senior secured notes placement consists of a fixed-rate tranche and floating-rate tranche, both…
Dutch telecoms infrastructure provider Reggefiber has completed a €84.5m (US$114.7m) private bond placement to private equity firm Aviva Investors.
The senior secured notes placement consists of a fixed-rate tranche and floating-rate tranche, both with 10 year tenures, London-based Aviva said in a statement. The coupon on the fixed-rate tranche is 5.022%, according to a Reggefiber spokesperson.
Reggefiber intends to use the proceeds to refinance a short-term construction bridge facility provided by ABN AMRO and expand its fibre-to-the-home networks.
Commenting on the transaction, Aviva infrastructure fund manager Florent del Picchia said the senior debt investment fits well within the focus of the firm’s recently-closed European Secondary Infrastructure Credit product.
The transaction, arranged by ABN AMRO, marks Reggefiber’s first capital markets transaction. The company, a joint venture between telco KPN and private investment company Reggeborgh, has previously obtained debt financing via project financing in the banking sector.
In late October, the European Investment Bank (EIB) announced that Reggefiber would receive €250m from itself and six commercial banks to support the rollout of its optical fibre network to an extra 50 domestic municipalities.
KPN owns 51% of Reggefiber, while Reggeborgh owns the remaining 49%.
