Full-fibre broadband network builder and service supplier Hyperoptic has completed a debt raise of £250m from eight banks as it bids to extend its full-fibre – also known as fibre-to-the-premises (FTTP) – broadband network to 50 towns and cities across the UK in the next 12 months.
The organisation, which specialises in supplying ultrafast services to multiple-occupancy dwellings, is particularly active in targeting both new-build blocks and retrofitting public housing stock with full-fibre, and already covers about 500,000 homes and businesses.
It wants to take this to two million by 2022 and five million by 2025, supporting the government’s ambition to have 15 million premises connected in the same timeframe.
Hyperoptic claimed this new round of investment is the largest single investment in the UK for a full-fibre network provider, reflecting growing confidence among investors that full-fibre is a project whose time has come.
One of Hyperoptic’s main competitors, CityFibre, was itself bought by a Goldman Sachs-backed consortium earlier this year, with similar aims in mind.
“Such large financial backing from prestigious investors is testament to the strength of Hyperoptic’s business model and proven track record for delivery,” said CEO Dana Tobak. “All our teams are forging ahead with one rallying cry: Let’s Gigabit Britain.”
Hyperoptic chairman Boris Ivanovic added: “Hyperoptic has the vision, determination and means to lead the roll-out of gigabit connectivity across this country, and smash the digital divide once and for all. I am proud that we have led by results.
“This latest round of funding is a tremendous recognition of our achievement and provides the impetus for making Hyperoptic the premier full-fibre national network.”
The company’s proposed network expansion is set to create 1,500 jobs around the UK, doubling its current headcount across five offices. Hyperoptic said it hoped to recruit 400 people this year and a further 1,000 by the end of 2019.
Digital minister Margot James said: “We recently announced plans for a nationwide full-fibre broadband network to build a Britain that is fit for the future.
“Commercial investment will play a crucial part in this, and Hyperoptic’s commitment to deliver gigabit connectivity to more than 50 UK towns and cities shows that they match our ambitions.”