UK mid market firm Alchemy has bought optical fibre network company Geo from the global corporation Hutchinson Whampoa Group for £62 million (€82.8 million; $121 million).
Geo owns 2500 kilometres of optical fibre across the UK adjacent to the mains gas pipeline. It also possesses 80 kilometres of optical fibre underground in Thames Water’s sewer network. These assets provide data networks for UK telecom companies such as Carphone Warehouse, Tiscali and 3UK.
The Welsh Assembly Government recently commissioned the company to build a high speed communication network across North Wales with a £30 million investment over fifteen years.
John Moulton, Alchemy’s managing partner, said in a statement: “The company [has a] unique position in a sector full of “me too” operators.”
Separately the Alchemy founder told PEO this Christmas he would enjoy the difficulties experienced by the “over-leveraged progeny” of larger buyout firms. He predicted a great year for the firm’s distressed debt fund.