France Quick View: French Operators Seek External Investors To Accelerate Fibre Rollout

摘要

The Latest: Orange has sold a 50% co-controlling equity interest in Orange Concessions to a group of investors including La Banque des Territoires (Caisse des D閜魌s), CNP Assurances and EDF Invest. Orange Concessions controls part of the operator’s fibre assets in France and comprises public networks initiatives for which Orange is the concession-holder. The sale should raise around EUR1.3bn, with Orange Concessions being valued at EUR2.7bn. Implications: Access to wider financial resources will support Orange’s goal to expand its fibre infrastructure across rural France. The operator’s Engage2025 strategy has the clear target of improving and extending the reach of super-fast broadband networks, supporting increasing demand in both the consumer and enterprise segments. Limiting spikes in capex as well as net debt (which had ballooned to EUR26.4bn as of September 2020) are key reasons behind the decision to include external investors.