We use cookies to support features like login and allow trusted media partners to analyse aggregated site usage.
To dismiss this message and allow cookies to be used, please click "Continue".



Twitter board

Follow us
  • @NewtonIM Sustainable Bond Investing Newton’s Scott Freedman and Victoria Barron review some of the developments in… https://t.co/6woi4Dfqjc12 hours ago
  • RT @portfolio_inst: @InvescoUKinsti whitepaper: Sustainable factor investing ''The advent of what might be called sustainable factor invest…2 days ago
  • @InvescoUKinsti whitepaper: Sustainable factor investing ''The advent of what might be called sustainable factor in… https://t.co/rPdm94o9yU2 days ago
  • Old Money: Forget millennial's, pension funds looking for growth should be targeting cash-rich retirees.… https://t.co/TfPklO4QPr2 days ago
  • RT @MSCI_Cudworth: MSCI in the News. EM governance: Breaking through. Michael Cheng discusses the influence of corporate #governance in #…2 days ago
  • Our cover story: CDC: A step into the unknown. Is CDC an unnecessary policy change when effort would be better spen… https://t.co/QGHfTkiPP27 days ago
  • Newton – Trend Setting: The Year Ahead in ESG ''We have seen notable client interest for sustainable products over… https://t.co/OoXVLJ1BMp7 days ago
  • Our Latest ESG feature: EM governance: Breaking through. ''Those calling for better governance in emerging markets… https://t.co/qk0vJpfpJL10 days ago
  • The February Issue is available online now! Our Cover Story - CDC: A Step in the wrong direction. Read more here:… https://t.co/8xwHL9Nd2z10 days ago
  • RT @AonRetirementUK: What do we expect to see in the #ESG market over the next 12 months? Read the results of the @portfolio_inst panel of…10 days ago
  • RT @PensionsSion: What are the pros and cons of building a global #equity portfolio? Find out by reading the @portfolio_inst Global Equitie…16 days ago
  • RT @AonRetirementUK: Outcomes delivered by employer pension schemes now depend more than ever on levels of engagement. Companies must creat…17 days ago
  • Our latest Roundtable: Cash-Flow Driven Investing is now live! Read more here: https://t.co/zBy7Gbiud9 https://t.co/KJTIgVssmG17 days ago
  • RT @BNPPAM_COM: 2017 was one of the most active hurricane seasons on record, causing up to USD 475 billion worth of damage. What are the in…29 days ago
  • RT @PensionsTony: At the Aon London #pensions conference. About to start my workshop on how well #DC schemes are meeting the needs of #memb…29 days ago
  • Andrew Wauchope talks to Mark Dunne about charities and their pension schemes, the secret of being a good trustee a… https://t.co/xcdcxs61QL29 days ago
  • Enter the Dragon : China’s inclusion in the @MSCI_Inc Emerging Market index has caused little excitement, but, as L… https://t.co/oy0EdSI6A831 days ago
  • The @InvescoUKinsti whitepaper: Responsible investing and active ownership. Invesco’s Bonnie Saynay and Henning St… https://t.co/E3Gdh9eDSM36 days ago
  • Charlotte Moore looks at the reaction of financial markets to Brexit has already changed the shape of the relations… https://t.co/6KH9jnWTtq36 days ago
  • RT @AonRetirementUK: Want to know more about the benefits of factor-based investing for your DB pension scheme? Aon’s next Investment Break…37 days ago


Institutions commit capital to rural high-speed broadband roll out

Institutions commit capital to rural high-speed broadband roll out

Sebastian Cheek
Friday 5th May 2017

A group of investors including RPMI Railpen has invested £110m in a company providing ultrafast broadband to rural areas of Britain.

Railpen has invested £35m in broadband provider Gigaclear and purchased £10m of its existing shares.

Elsewhere, Infracapital, the infrastructure investment arm of M&G Investments, has committed £60m and Woodford Investment Management has provided a further £15m.

The investment is part of a round of equity funding by Gigaclear to build new full fibre broadband networks for homes and businesses in the UK’s rural communities which suffer from poor broadband connectivity and have been under-served by incumbent providers.

In recent months, Gigaclear has won tenders to deliver its broadband network across Devon, Somerset, Gloucestershire, Herefordshire and Northamptonshire through the government-backed Broadband Delivery UK (BDUK) programme.

Railpen investment director Paul Bishop said this roll out has provided a significant opportunity for the scheme to “generate strong returns over time and help fulfil our mission to pay members’ pensions securely, affordably and sustainably”.

“We see the partnership with Gigaclear as a natural fit,” he added.

Infracapital, Gigaclear’s largest shareholder, invests in the company through its greenfield infrastructure strategy on behalf of a wide range of institutional and pension fund clients, including an unnamed UK local authority pension fund.

Infracapital, co-founder and director Ed Clarke said greenfield infrastructure projects such as this offer institutional and pension fund investors early access to assets that over the longer-term can generate predictable cashflows increasing in line with inflation.

He added: “We are playing an important role in getting the UK connected through our investment in Gigaclear. This is a unique opportunity to invest at an early stage in the development of high speed communications infrastructure for the UK’s underserved rural population.”

Woodford Investment Management first invested in Gigaclear in June 2014 in the Woodford Equity Income fund and a year later, in May 2015, it became a part of the Woodford Patient Capital Trust portfolio.

In a Patient Capital Trust update published in March, the firm said it was attracted by Gigaclear’s “robust business model and its highly experienced management team”.

It added: “We see Gigaclear’s future as very bright and, although the road ahead may not always be smooth, we believe the business is very well-positioned to continue to deliver attractive long-term growth and create meaningful shareholder value in the process.”

Gigaclear chief executive Matthew Hare said the investment will enable the company to step up its speed of network delivery and offered a clear signal that investors have confidence in its continued expansion and success.

“Millions of rural homes and businesses across the country need better broadband and we want to reach as many of those in rural areas as quickly as possible,” he added.



Leave your comment

View our comments policy

Please login or register with us to leave a comment. It's completely free!