£63m investment boost for Telcom to build out fibre network
Internet service provider Telcom has secured £63m investment to build fibre networks in the North and Midlands, as well as to deliver ultrafast fibre connectivity to commercial and residential properties throughout the country.
The funding has been received from asset manager Gresham House’s £340m British Strategic Investment Fund.
The close-ended fund takes a long-term view on investing in sustainable infrastructure and housing sectors.
Currently, Manchester-based Telcom is deploying its 1Gbps capable Fibre-to-the-Premises network to cover 1 million premises by the end of 2023 and the additional investment should help to fuel their effort to reach more homes and commercial properties.
Peter Bachmann, managing director of sustainable infrastructure at Gresham House said: “Telcom’s ‘full-stack’ approach is highly differentiated, as it offers customers a genuinely bespoke, technology-driven broadband service.
“As Telcom looks to expand its coverage, this should appeal to the many British businesses relying on good connectivity to operate efficiently.
“Given its urban and multiple-dwelling unit focus, the addition of Telcom to the Gresham House family of broadband providers also complements our investments in rural broadband providers and contributes to our wider push for greater digital inclusion across the UK.”
He added: “Reliable high-speed broadband infrastructure is necessary to power the British economy and enable increased social inclusion – through remote learning and working, and telehealth.”
Telcom co-founder and CEO Shaun Gibson said: “The Gresham House investment comes after a period of hard work by the management team and board in structuring the company for a period of high-level sustained growth.
“This is a tremendously exciting time for Telcom employees and shareholders, as we continue building our great company for the long term and obsessing over our customers.”
Telcom Group was advised by corporate finance firm Oakley Advisory and law firm Gunnercooke on the deal.
Finance and tax consultancy RSM UK, law firm Shoosmiths, and management consultancy Analysys Mason advised Gresham House.