Dutch telco KPN has increased its stake in joint venture Reggefiber to 51% for €99m.
The company previously had a 41% stake in the fiber-to-the-home partnership and announced today that it would be acquiring a further 10% in order to “strengthen its…
Dutch telco KPN has increased its stake in joint venture Reggefiber to 51% for €99m.
The company previously had a 41% stake in the fiber-to-the-home partnership and announced today that it would be acquiring a further 10% in order to “strengthen its commitment to FttH in the Netherlands.”
The JV partners agreed a year ago that KPN would have the option to increase its ownership based on a pre-arranged timeline and operational milestones.
Today’s deal does not impact management of Reggefiber, which remains under joint control and “will not be consolidated”, said the announcement.
In a release dated 9 November last year, KPN outlined its plan for increased ownership in the joint venture which was “designed to provide a clear roadmap toward ultimate control for KPN.”
The telco will have the option to increase its stake to 60% in the future, at which point it will consolidate Reggefiber.
Reggefiber recently agreed a €250m financing round with European Investment Bank (EIB) and six commercial banks to support the rollout of its optical fibre network to an extra 50 domestic municipalities.
