Allianz invests in broadband rollout in Lower Austria
Today Allianz Capital Partners (ACP) on behalf of Allianz insurance companies signed an agreement for the acquisition of a 75% stake in the Niederösterreichische Glasfaserinfrastrukturgesellschaft (“nöGIG”). The investment volume is c. EUR 300 million.
ACP was selected as preferred bidder in July by the Niederösterreichische Breitband-Holding, which is an entity controlled by the Federal State of Lower Austria, after a competitive bidding process that had attracted significant interest from institutional investors.
The purchase of the stake in the nöGIG supports the rollout of a new fibre-to-the-home (“FTTH”) broadband network to around 100,000 homes between 2020 and 2022 with a focus on municipalities with less than 5,000 inhabitants. The construction phase is scheduled to begin in 2020.
Christian Fingerle, Chief Investment Officer at Allianz Capital Partners said:
"We are convinced that jointly with the Niederösterreichische Breitband-Holding we can make a significant contribution to modernize the digital infrastructure of Lower Austria and are delighted that Allianz was chosen as a partner for this project. This is our second infrastructure investment in Austria and we are committed to investing in more projects that provide essential services for the public in Austria and across Europe.”
ACP is a major international financial investor in infrastructure equity with more than EUR 11bn Assets under Management. In 2019, ACP also invested in the further development of France´s FTTH network.
The transaction is expected to reach financial close by the end of the year.