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New financing for FibreConnect from Banco BPM and Natixis CIB

29 June 2023 | Press release

Total of €150 million secured, accelerating FibreConnect’s development plan for fiber optic in Italy’s Industrial and Industrial Areas

Rome, June 29, 2023 – FibreConnect S.p.A.., an independent operator that offers, on a Wholesale Only basis, high-performance and reliable connectivity services for businesses in Italy’s Industrial and Artisan Areas (AIAs), has signed agreements with a pool of banks consisting of Natixis CIB, a leading bank with a global platform and strong presence in the Italian market (participating in the role of Arranger and Hedging Bank), and Banco BPM, one of Italy’s leading banks (participating in the transaction as Arranger, Facility Agent, Security Agent, Account Bank and Hedging Bank)

Thanks to this agreement, FibreConnect will benefit from several lines of credit worth a total of about € 150 million that will enable it to finance the development path for fiber optics in the Industrial and Artisan Areas, structured as follows:

  • a Term Loan line in the amount of € 120 million to support the investment plan (Natixis CIB share: € 75 million, Banco BPM share: € 45 million);
  • A Revolving line in the amount of € 5 million (fully subscribed by Banco BPM);
  • A line for the non-recourse assignment of VAT receivables in the amount of € 25 million (fully subscribed by Banco BPM).

This financing is in addition to the capital raised by FibreConnect through institutional infrastructure investors about a year after it began operations.

“This funding puts us in a position to continue to concretely carry out FibreConnect’s mission, thus helping to reduce the digital divide in the area and foster the competitiveness of our businesses, with a positive impact on the territory and our business system.” stated Renzo Ravaglia, CEO and Co-Founder of FibreConnect. “At a difficult time in the capital market, the agreement with the two banks demonstrates the soundness of FibreConnect’s business plan and the great opportunity for further growth,” added Giovanni Cialdino, CFO and Co-Founder of FibreConnect.

The signing of the agreement regarding the financing comes on top of other key developments such as those in recent months such as strategic partnerships with Estracom and Tiscali, which see FibreConnect engaged in the development of the ultra-broadband network with the aim of providing coverage to thousands of SMEs located in the Industrial and Artisan Areas (AIAs) in the territory.

“We are proud to be at the forefront alongside FibreConnect in this important operation that confirms Banco BPM’s commitment to those projects that have a strong vocation for digital innovation contributing to the development of the country,” says Mattia Mastroianni, Head of Corporate at Banco BPM – Digital innovation is increasingly a strategic asset for the growth of businesses and a key ally in supporting them on their path of transition to a sustainable development model.”

“FibreConnect will make a decisive contribution to the development of the fiber optic network that is indispensable for the development of Italy’s economic fabric,” says Roberto Massarenti, Head of Infrastructure Finance in Italy at Natixis CIB – We are pleased to have inaugurated this partnership, which shows, along with the financing already provided in the telecom tower and data center sectors, Natixis’ commitment to the development of Italy’s digital infrastructure.”

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