Fiber firm euNetworks has confirmed it has completed the refinancing of existing debt, driven by two of its existing investors Stonepeak and Investment Management Corporation of Ontario (IMCO).

The company also revealed it has raised "significant undrawn, committed debt facilities."

It said the financing will fund the construction and development of its next generation of critical bandwidth infrastructure in Europe.

The new long-term infrastructure financing solution provides total debt facilities of €1.26 billion ($1.35bn).

euNetworks owns and operates fiber networks in 18 cities as well as a long haul network spaning 45,000 route kilometers across 17 countries.

According to euNetworks, the financing builds on the sustainability-linked loan it secured during its previous debt raise in 2021.

euNetwork said that it "includes a large committed revolving capital expenditure facility to support future organic growth opportunities and M&A activity," and establishes a long-term financing platform provided by 14 funders – ABN AMRO Bank, AXA IM Alts, Banco de Sabadell, CIBC UK, DNB (UK) Limited, Export Development Canada, Intesa Sanpaolo (IMI CIB Division), LBBW, Lloyds Bank, MUFG Bank, National Australia Bank, NIBC, Nord/LB, and Royal Bank of Canada.

“This debt financing enables us to sustain our growth alongside our customers, to further invest in and expand our network infrastructure footprint,” said Katherine Alexakis, chief financial officer of euNetworks.

“The substantial liquidity accessible through this process underscores the robust value proposition and fundamental infrastructure delivered by euNetworks. We’re pleased that this incremental debt raise allowed us to continue to incorporate our dedication to sustainability by integrating ESG-linked Key Performance Indicators, and we extend our gratitude to our lenders for their support as we continue to construct and deliver critical bandwidth infrastructure.”

Stonepeak first acquired a majority stake in euNetworks back in January 2018, and has since increased the number of connected data centers by more than 60 percent, secured three acquisitions, and optimized the capital structure through incremental debt and equity funding.

Last year, the investor recapitalized euNetworks through the sale of the data center and fiber business to a Stonepeak fund alongside strategic investments from APG Asset Management and IMCO.