European private equity firm Doughty Hanson is to acquire Eurofiber, which owns an independent fiber network in the Netherlands. Doughty Hanson is acquiring the firm from Reggeborgh, an investment vehicle of the Wessels family. Reggeborgh will continue to hold a significant minority stake in Eurofiber.
Doughty Hanson & Co, one of the largest independent private equity firms in Europe, today announced that it is to acquire Eurofiber, the owner of the second largest independent fiber network in the Netherlands. Doughty Hanson acquires the firm from Reggeborgh, an investment vehicle of the Wessels family. Reggeborgh will continue to hold a significant minority stake in Eurofiber.
Founded in 2000 and headquartered in Maarssen in the Netherlands, more than 25% of Dutch internet traffic and 50% of Dutch mobile traffic, waterways and electricity management information is transported over Eurofiber’s network. Eurofiber’s network spans over 12,000km and connects over 4,500 unique locations. All telecom providers, system integrators and service providers can deliver their services to end users using Eurofiber’s infrastructure-only network.
Eurofiber is one of only two companies in the Netherlands that has sufficient nationwide coverage to target major nationwide contracts. It also expects to significantly expand its network, driven by continued strong demand for fiber. Its clients include those organisations that require high network reliability, speed and bandwidth requirements including telecommunications businesses, internet service providers, utilities, office locations and municipalities.
Pascal Keutgens at Doughty Hanson said today: “Eurofiber has an impressive track record of growth, which we expect to see accelerate in the future. Fiber is a fast growing market as enterprises increasingly move away from copper-based legacy infrastructure, and as usage of smartphones, heavy data internet services and cloud computing increases. The management have impressed us with their ambition, their experience and their strategic vision of the market.”
Alex Goldblum, Chief Executive Officer at Eurofiber commented on the transaction: “We have very rapidly built up an excellent relationship with the team at Doughty Hanson who have clearly demonstrated their understanding of the sector, as well as their track record in the Netherlands, and across Europe. We are looking forward to working with them as we build our customer base, create jobs and successfully grow the business.”
Fiber optic networks are very reliable data communications networks which are able to support transmission speeds of up to 100 Gbps per second. This is up to 10,000 times faster than a standard internet connection over a telephone line.
The transaction is subject to the usual regulatory requirements and is expected to close in May 2012.