Gigaclear raise £111m to build a rural fibre network
May 5th, 09:12 by Charlotte Whyatt
A broadband provider that specialises in offering internet access to Britain’s rural communities has raised £111m in order to construct a full-fibre network out in the countryside that’ll be able to serve 150,000 homes and businesses across six different counties.
Gigaclear, who’re based in Abingdon Oxfordshire, aim to have both construction on the network fully completed and all the relevant premises throughout Herefordshire, Essex, Devon, Somerset, Northamptonshire and Gloucestershire connected up within the next three years.
The telecommunication company have secured funding from a number of different sources including Infracapital, life insurance provider Prudential, Woodford Investment Management and Railpen, who’re responsible for paying out a pension to anyone who’s worked on Britain railways.
They also secured a €25 million (or £21,197,250) loan from the European Investment bank which is based just outside of Luxembourg City, Luxembourg.
“Data consumption is expected to continue to rise significantly over coming years and it is unlikely that existing infrastructure will be able to satisfy demand,” said Paul Bishop, Investment Director at Railpen. “We believe these make for supportive conditions in which to provide capital to alternative network providers.”
By the end of 2016, Gigaclear had provided over 300,000 homes and buisnesses across the more rural areas of Britain up to fibre broadband. It's estimated that they’ll be able to hook up over 1.5 million more over the next few years.
Source: Financial Times
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