Irish Infrastructure Fund to acquire 100% ownership of enet

Press release
24th Oct 2019

The Irish Infrastructure Fund (IIF), a fund managed by AMP Capital and Irish Life Investment Managers, has entered into an agreement to acquire the remaining 22% of enet from Granahan McCourt Capital, bringing the IIF’s stake in the company to 100%.

Based in Limerick, enet operates Ireland’s Metropolitan Area Networks (MANs) on behalf of the Irish State, as well as a variety of other wholesale telecommunications infrastructure and has become a key player in the provision of digital infrastructure services across the country.  enet’s success with the open-access model means it already serves more than one million end-users, with its infrastructure supporting over 70 different retail service providers.

AMP Capital’s Philip Doyle, Principal of the Irish Infrastructure Fund, said, “The Irish Infrastructure Fund is delighted to acquire the remaining 22% in enet, bringing the IIF’s stake to 100%. Since we acquired a majority stake in the business in August 2017, the company has demonstrated the high quality of its business and its potential for growth. enet, via its operation of vital telecoms infrastructure, has developed a great business that is both commercially focused and policy supportive.”

Mr. Doyle added, “The kind of connectivity that enet provides is necessary for continued economic growth. We are committed to making long-term investment in Ireland’s future and to gearing its economy for growth while delivering attractive returns for our investors, which include numerous Irish institutional investors. Mr. Doyle concluded by saying, “On behalf of the board and staff, I would like to thank David McCourt and the wider Granahan McCourt team for their considerable contribution to the business over the last number of years.”

David McCourt, Chairman and CEO of Granahan McCourt Capital, the worldwide investors in technology, media and telecommunications said, “I have long believed that the provision of world-class connectivity needs to be viewed as a vital utility and enet continues to play a significant role in solving this problem for many citizens across the country. I have been proud to have been part of the company’s ownership structure and wish the team a successful future.”

Mr. McCourt added, “Today, Granahan McCourt are pleased to be putting our full and absolute commitment behind the Irish Government’s National Broadband Plan. Granahan McCourt has led the Consortium since the Pre-Qualification Questionnaire (PQQ) was submitted in March 2016 and as we are now looking ahead to delivering the NBP and in order to fully commit our time, energy and resources to this ambitious project, we have taken the decision to sell our remaining stake in enet.”

Recently it was announced that enet will be a key supplier for National Broadband Ireland (the name associated with the Granahan McCourt led Consortium bidding for the NBP) and will be an integral part of the ongoing operation of the network when built. On this subject, Mr. McCourt commented, “We look forward to continuing to work with enet on the NBP project. Their experience and expertise in network operation will be a vital component of the project’s success.”

The transaction is expected to reach financial close after confirmation of regulatory approvals.