Infracapital enters Dutch market with €100m telecom deal

The infrastructure fund of M&G Investments has acquired Alticom Holdings from TDF Group. The purchase is Infracapital’s first Dutch and telecommunications deal. Dexia and ING are backing the acquisition with debt.

Infracapital Partners, the infrastructure fund of M&G Investments, the asset management unit of insurer Prudential, has entered the Dutch market with its first ever telecommunications deal, the fund announced in a statement.

Infracapital has bought Alticom Holdings, the owner of the national broadcast and telecommunication infrastructure in the Netherlands, from French telecommunication company TDF Group for an enterprise value of around €100 million, sources familiar with the deal said. 

“The company’s telecommunication and broadcast infrastructure is an essential element of the national communications networks,” Ed Clarke, director and co-founder of Infracapital, said in a statement, adding: “The company is an attractive addition to the Infracapital portfolio, offering diversification as well as stable and predictable cashflows from its long-term contracted revenues.”

Alticom’s high elevation towers are also used by Dutch telecommunication firms to provide wireless internet services, Infracapital said.

DexiaCredit Local and ING are providing debt for the acquisition, although Infracapital did not divulge how much debt is being provided for the deal. Macquarie Capital Europe was Infracapital’s financial advisor on the transaction, with DeBraw Blackstone Westbroek acting as legal advisors and Ernst & Young as accounting and tax advisor.