Chilean telecommunications company Entel will sell its assets in the fiber optic business for the provision of services to homes to the company ON*NET Fiberin an operation valued at 358 million dollars.
The transaction led by the investment bank BNP Paribas, the investment bank Santander and the financial advisor Scotiabank, is subject to the approval of the Chilean regulator, which is estimated to occur within the first half of 2023.
“As part of this transaction, the signing of a framework contract for long-term fiber optic connectivity services was also agreed. This will allow Entel to continue offering Internet services for the home in the country, now over the network of the wholesale company,” said Entel.
By selling our network, rather than leaving the fixed market, we are increasing coverage rapidly, to offer our Internet services to the home, at efficient costs and without the need to invest the sums that a fiber deployment with this coverage requires,” he added.
After the closing of this operation, ON*Net Fibra is expected to reach more than 4.3 million homes in 2024.
Entel has operations in Chile and Peru, countries where it has more than 20 million mobile phone subscribers.
