KfW IPEX-Bank and KfW provide financing for Deutsche GigaNetz

• Support of fibre optics expansion in Germany
• Use of promotional programmes of KfW to support digitalisation

KfW IPEX-Bank, as part of an international banking club, is structuring and providing financing for Deutsche GigaNetz. The financing will support Deutsche GigaNetz in their fibre network rollout ambitions throughout Germany over the coming years.

The KfW promotional programme loans “Investitionskredit Digitale Infrastruktur” and “KfW-Konsortialkredit Digitale Infrastruktur” are also part of the financing package. KfW IPEX-Bank acts as KfW Facility Coordinator and, together with KfW, as Mandated Lead Arrangers in this transaction.

“Financing the expansion of digital infrastructure is one of our key areas of activity,” said Dr Velibor Marjanovic, member of the Management Board of KfW IPEX-Bank. “In this landmark financing KfW IPEX-Bank and KfW together showcase their wide tool kit to support and promote expansion of digital infrastructure to bring state of the art connectivity to business clients and homes and to drive the digital society forward.”

Deutsche GigaNetz aims to reach 2.1 million homes by 2030, positioning themselves at a national scale in Germany. The company distinguishes itself as a high quality network operator, by using open access technology to give access to wholesale customers in the future, as well as operating a retail model. Strong cooperation with local stakeholders is sought after, with the ambition to cover entire municipalities. Deutsche GigaNetz is exclusive vendor in the gigabit region Heilbronn-Franken and preferred vendor in the gigabit region Frankfurt-Rhein-Main.

InfraRed Capital Partner as the majority owner of the company is providing equity support for the continuous rollout, while DWS (Deutsche Asset Management) is entering as a new shareholder.

About Deutsche GigaNetz
Deutsche GigaNetz GmbH, headquartered in Hamburg, operates the predominantly self-financed and quality-oriented fibre-optic network expansion to the home (FttH - Fibre to the Home) throughout Germany. Deutsche GigaNetz is thus making a significant contribution to the digitalisation of Germany by enabling all citizens to have access to the necessary infrastructure. With a focus on self-financed expansion, the company's goal is to build 100% fibre in the municipalities, and to use existing infrastructures and complementary subsidy projects. Deutsche GigaNetz is creating a sustainable quality network for the next generations through high quality laying techniques and conventional laying depths, which will be an open-access, non-discriminatory solution. With up to 60% less energy consumption in network operation compared to previous networks, Deutsche GigaNetz also contributes to the ecological sustainability in the municipalities.