DigitalBridge buys Chilean FTTH provider
Chilean FTTH provider Mundo has a new owner after Linzor Capital Partners, together with minority partners Teras Capital Spain and CyC, transferred 100% of the business to DigitalBridge.
Mundo owns one of the largest FTTH networks in Chile, reaching more than three million homes and serving more than 650,000 clients.
Linzor Capital Partners acquired Mundo in September 2019 and since then it has "carried out a strong growth plan that managed to triple its client base and network in only two years". The investment won Linzor a social responsibility award in 2021.
Matias Gutierrez, partner at Linzor Capital Partners said: “We were able to grow really fast, taking advantage of the opportunities that exist in FTTH. We are proud of our contribution to help reduce the digital gap in the country, by bringing high-speed fibre optic internet at competitive prices to many underserved locations where there was no connectivity. Mundo is now in great hands with its new shareholder DigitalBridge and the management team that remains in the company.”
Known as Colony Capital until its rebrand last year DigitalBridge – which specialises in digital infrastructure investments – has more than $40 billion in assets under management. It owns Freshwave, Highline do Brasil and Vantage Data Centers, as well as half of Zayo.
In recent months it has launched EdgePoint Infrastructure, established a new towerco, ÍslandsTurnar, in Iceland and acquired a majority stake in Vertical Bridge – which in 2020 pledged to become the "world's first carbon neutral towerco".
However, it has stiff competition in the local market. Last year, KKR entered into an agreement with Telefónica to establish Chile’s first open access wholesale fibre optics company valued at $1 billion.
That venture plans to expand broadband coverage from its current two million households to a minimum of 3.5 million households by 2023, as well as provide wholesale service to more than 40,000 businesses, telecom towers, and small cells.