LONDON (Alliance News) - CityFibre Infrastructure Holdings PLC Wednesday said it has sold its first dark fibre capacity on the 1,100 kilometre national long distance network it bought from KCOM Group PLC in January.
It has won a fifteen year contract with a total value of GBP2.3 million with SSE Enterprise Telecoms Ltd covering a 48 kilometre stretch of network between Reading and Slough. Under the structure of the deal a majority of the proceeds will be paid up front, with a small annual recurring charge over the remainder of the contract term.
The long distance network CityFibre acquired covers 1,100 kilometres connecting 22 towns and cities.
"We're very excited to add SSE Enterprise Telecoms to our growing list of national service provider customers. This contract also demonstrates the pent-up demand for intercity dark fibre connectivity across our acquired national long distance backbone, and we're pleased to already be commercialising this valuable asset," said Chief Executive Greg Mesch said in a statement.
"This is our fourth deal signed on the acquired assets in the less than three months that we have owned them, following sales of 450 connections on the acquired metro networks in Bristol, Leeds and Bradford," Mesch added.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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