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CityFibre shareholder commits further £300m to support growth plan

Greg Mesch CityFibre.jpg

CityFibre shareholder Mubadala Investment Company has committed a further £300m in equity to support its participation in Building Digital UK’s (BDUK) ‘Project Gigabit’ rural programme.

The new equity commitment, enabled by the infrastructure vertical of the UAE/UK Sovereign Investment Partnership, builds on Mubadala’s initial £500m investment into CityFibre in September 2021.

The investment company has a portfolio which spans six continents totalling $243.4 billion in investments.

Mubadala and Interogo Holding joined existing investors Antin Infrastructure Partners and the Infrastructure business with Goldman Sachs Asset Management as part of the investment made at the time.

Combined, CityFibre has raised £1.425 billion in the last six months, representing the largest ever financing for UK full-fibre deployment.

Greg Mesch, chief executive at CityFibre said: “Mubadala’s confidence in our business is testament to our growing momentum and progress.

“The need and appetite for carrier-neutral wholesale network competition at scale is clear, and CityFibre continues to demonstrate the benefits as a driver of wider investment, improved services and better value.

“With Mubadala’s continued support, we are well funded to deliver the UK’s finest full-fibre network and help to level-up the UK.”

CityFibre is currently engaged in a £4 billion investment programme to roll-out full-fibre infrastructure to up to eight million homes by 2025.

The rollout currently spans across more than 60 major metro areas and 285 cities, towns and villages.