North West-based ITS Technology Group has secured a further £100m investment from current backer Aviva Investors, which will be used to continue the rollout of its full fibre networks.
ITS has built a significant footprint across the North west, with networks live across Lancashire, Greater Manchester and Liverpool - it is currently rolling out the 212km LCR Connect - a joint venture between LCRCA, ITS and French civils firm NGE.
The network is on track to pass 25 per cent of UK business premises by the end of this year.
Since securing the first round of funding from Aviva Investors, the global asset management business of Aviva PLC. in early 2020 (£45m), ITS has increased its network footprint, known as 'Faster Britain' in the marketplace. It has brought forward rich full fibre infrastructure to business dense areas where there is pent up demand for Gigabit-capable services.
Building on its indirect wholesale model, ITS' Faster Britain partner programme has also grown substantially. More than 300 reseller, internet service provider, and managed service provider partners are now able to access and provide Faster Britain Gigabit-capable connectivity to end-users.
Due to this, ITS has tripled its revenues year on year, and was EBITDA positive in FY21, a strong financial position it will build on again this year.
Daren Baythorpe, chief executive of ITS said: "We have made significant progress over the last two years, building a highly skilled team, scalable delivery capabilities, and creating a substantial full fibre footprint. This further commitment will enable us to continue to rollout our open access wholesale digital infrastructure at pace, giving more businesses access to the connectivity solutions they need to underpin their operations.
"ITS can now connect any business in the UK via our partnerships with key operators and using our own Faster Britain networks which we are continuing to build out across business dense locations in major towns and cities. We have also invested heavily in developing the systems that allow our partners to easily access high quality full fibre connectivity through our wholesale platform."
Sean McLachlan, senior director, infrastructure, at Aviva Investors, added: "We are very pleased to continue our relationship with ITS and to support the extended rollout of its fibre networks across the UK. There has been a huge structural shift in data usage in recent years which continues to accelerate, and the continued investment in digital connectivity is fundamental to supporting how society functions today and tomorrow.
"ITS has made significant progress and outlined a clear vision to address this need. Combined with a strong team and expertise, we think this presents a compelling investment opportunity and look forward to working in partnership with them."
Dow Schofield Watts acted as sole financial advisor on the transaction, RSM as tax advisors, and BDB Pitmans LLP provided legal advice.
Mark Watts and Dave Graham from Dow Schofield Watts worked on the deal.
