(Alliance News) - Cordiant Digital Infrastructure Ltd on Thursday said it completed the acquisition of Speed Fibre DAC for EUR97.2 million.

The digital infrastructure investor said the acquisition marks a further step in the company's portfolio diversification by asset class and geography with its entry into wholesale and retail fibre services in Ireland.

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.

On Tuesday last week, Cordiant Digital said the acquisition had been cleared under the UK's National Security & Investment Act 2021. This clearance was required because an element of Speed Fibre's network extends into Northern Ireland.

In August, Cordiant agreed to buy Speed Fibre from the Irish Infrastructure Fund for EUR97.2 million as an equity consideration and with an enterprise value of EUR190.5 million.

"We are delighted to welcome Speed Fibre into Cordiant Digital's portfolio, which is now further diversified by asset class and geography. Fibre remains an integral part of digital infrastructure, supporting economic growth and social connectivity. As we remain committed to our "buy, build, and grow" model, the plan is to invest further in Speed Fibre's network and work closely with the Irish government and local partners to extend high-speed digital access. This will nurture domestic innovation and provide a thriving ecosystem for both multi nationals and homegrown tech companies to flourish," said Steven Marshall, chair of Digital Infrastructure at Cordiant Capital.

Cordiant Digital Co-Head & Chief Executive Officer Benn Mikula commented: "Notwithstanding the continued pressure on the investment companies' sector of the London Stock Exchange, the company remains focused on building shareholder value through the combination of increasing cash flow and [net asset value] at its portfolio companies as well as disciplined capital allocation, including promising investments such as Speed Fibre."

Speed Fibre CEO Peter McCarthy added: "Cordiant Digital Infrastructure Ltd is an ideal partner for Speed Fibre, bringing a combination of capital support and expertise to drive the business forward. In this industry, having an investor with a long-term perspective is key and, as a team, it gives us the comfort to be able to invest to support our future growth."

Shares in Cordiant Digital were up 1.0% to 62.24 pence each in London on Thursday morning.

By Greg Rosenvinge, Alliance News reporter

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