Berlin, Germany, March 19, 2024 – Tele Columbus AG (the Company), one of the leading operators of fiber networks in Germany, is pleased to announce the completion of the Transaction which was detailed in the release on November 22, 2023.
The Transaction provides the Company with significant fresh capital from Morgan Stanley Infrastructure Partners, the Company’s largest indirect shareholder, a strengthened balance sheet and sufficient maturity and liquidity runway to allow management to focus on the successful implementation of the build out of its fiber strategy. The capital injection will fully fund the transformational strategic plan and reflects the conviction of the major shareholder about the long-term prospects of the Company.
The Transaction is described in more detail in the Company’s previous press release. Key highlights include:
- A €300 million capital contribution to support the Company’s strategic plan to gradually convert its existing infrastructure, in consultation with the housing industry, into fiber-optic networks
- Debt maturities of the SFA and SSNs extended at par until January 2029
- Conversion of substantially all current cash interest to payment-in-kind with an increase in margin on both instruments plus an exit fee
Markus Oswald, CEO of the Company, commented:
“The Transaction highlights our investors’ strong confidence in our future. With the financing behind us, management can fully focus on running the business and capitalizing on the tailwinds underpinning the strategic plan.”
