This week, it was announced that Dutch pension giant APG Group, the Netherlands’ largest pension fund manager with around EUR 577 billion (about $685 billion in assets under management on behalf of 4.7 million Dutch workers),together with Canadian mid-market infrastructure investor Fiera Infrastructure, has completed a previously announced acquisition of U.S. fiber provider Conterra Networks.
Conterra, based in Charlotte, North Carolina, is one of the largest independent local providers of fiber-based services in the U.S. Its network spans 13,000 route miles, providing high-capacity middle and last-mile fiber and fixed wireless service to enterprise, carrier education, government and data center customers across 21 states in the U.S. Southeast, South Central and Western regions.
“We are excited to be partnering with APG and Fiera Infrastructure to accelerate our expansion plans in Tier II and Tier III markets through the rapid expansion of our fiber networks, strategic acquisitions and enhanced fiber-based solutions, while remaining fully committed to delivering an exceptional customer experience,” Conterra President and CEO Craig Gunderson said upon announcing the close of the transaction.
APG and Fiera Infrastructure announced plans to acquire Conterra from majority owner Court Square Capital Partners in July 2020. Fiera Infrastructure had been a significant minority owner of the company since April 2019, holding the stake through its Eagle Crest Infrastructure strategy. Fiera Infrastructure, an affiliate of Toronto-listed asset manager Fiera Capital, manages around CAD 2.7 billion (about $2.2 billion) in client assets, which it has (to date) invested directly in 35 infrastructure assets across utilities, telecommunications, transportation, renewable energy, and public-private partnerships (PPPs).
“Conterra provides a very strong platform on which we will continue to grow the Company, through both organic network builds and acquisitions,” Fiera Infrastructure Managing Director Jamie Crotin said in announcing the deal.
As for APG–which provides pension returns for one in five families in the Netherlands today–it is one of the most active infrastructure investors in the world at present, and continues to grow its global presence across the telecommunications sector.
“APG’s approach to investing in digital infrastructure complements Conterra’s long-term growth plans,” APG’s Head of Real Assets in the Americas, Steven Hason, said. “This investment will position Conterra to provide vital infrastructure to their growing customer base in Tier II and III markets well into the future. APG looks forward to our partnership with both Fiera Infrastructure and the Conterra management team.”
