Press Release from 2023-05-11 / KfW IPEX-Bank
KfW IPEX-Bank arranges fibre optic expansion financing for Westconnect
Together with two other banks, KfW IPEX-Bank is arranging financing of EUR 1.3 billion for the expansion of fibre optics in western Germany and is thus supporting the expansion of digital infrastructure in Germany. The borrower is Westconnect GmbH (formerly Westenergie Breitband GmbH), a joint venture between Westenergie AG, a wholly owned subsidiary of E.ON SE, and Igneo Infrastructure Partners. The financing will provide more than 1.5 million households in western Germany with fibre optic connections.
KfW IPEX-Bank, BNP Paribas and UniCredit Bank act as Global Coordinators, Underwriters and Mandated Lead Arrangers. As an underwriter, KfW IPEX-Bank has provided EUR 433 million. As part of a syndication, ABN AMRO, Axa Investment Managers, Bank of China, Landesbank Hessen-Thüringen, Bayerische Landesbank, Bank of Communications, MUFG Bank and National Australia Bank are participating as further lenders.
About Westconnect GmbH
Westconnect GmbH is a leading regional provider of fibre optic infrastructure in Germany, with a focus on western Germany. The company’s mission is to provide high-speed broadband connectivity to households and businesses, enabling them to connect to the digital world. Westconnect has already provided access to fast Internet to over one million people and businesses.
About KfW IPEX-Bank
Within KfW Group, KfW IPEX-Bank is responsible for project and export finance. It supports German and European companies operating in key industrial sectors in global markets by structuring medium and long-term financing for their exports, funding infrastructure investments, securing supply of raw materials and by financing environmental and climate change mitigation projects worldwide.
As a bank that stands for transformation, it finances technologies of the future to support the transition towards sustainable society in all three dimensions of the economy, environment and social. By implementing ambitious sector guidelines for CO2-intensive sectors KfW IPEX-Bank ensures its financings are compatible with the goals of the Paris Agreement. By introducing GHG accounting it aims to achieve a net zero emissions portfolio by 2050.
As specialist bank, KfW IPEX-Bank has extensive industry, structuring and country expertise, it takes on leading roles in financing consortia and actively involves other banks, institutional investors and insurance firms. KfW IPEX-Bank operates as a legally independent group subsidiary and is represented in the most important economic and financial centres across the globe.