London, United Kingdom (PRWEB) February 14, 2008
Geo, a leading provider of optical fibre networks, today announced that it has been sold by the Hutchison Whampoa Group to the Alchemy Investment Plan ("Alchemy") in a deal worth £62m.
Geo owns a high quality 2,500km optical fibre network across the UK which is adjacent to the mains gas pipeline. It also owns an 80km fibre network built deep underground in Thames Water's sewer network in London. It uses these assets to design and build bespoke data networks for some of the UK's largest organisations such as Carphone Warehouse, Tiscali and 3UK. Recently, it has been selected by the Welsh Assembly Government to build and operate the innovative new FibreSpeed network to deliver high speed communication services in North Wales, the first phase of which will see a £30 million investment over the next 15 years.
Jon Moulton, Managing Partner of Alchemy Partners LLP, said "We are delighted the acquisition of Geo has completed. The company's innovative business model, high quality bespoke services and excellent track record provide it with a unique position in a sector full of "me too" operators. We look forward to working with Geo's experienced management team to continue the growth of this exciting young company."
Chris Smedley, Geo's Chief Executive, said, "This deal is an important landmark in Geo's evolution into the UK's foremost provider of dedicated fibre data networks. The confidence shown by a leading investor such as Alchemy in Geo's proposition to its customers and the market opportunity is significant and I am delighted to have them as our shareholder and partner for the next stage in the company's rapid growth."
Geo is the only company in the UK to design and build bespoke dedicated fibre network solutions. Geo's revolutionary and flexible approach means that for the first time, organisations can own and control their networks, ensuring that security, high bandwidth and resilience are guaranteed. Geo provides an extensive range of solutions including fully managed networks, dark fibre, lit fibre and co-location services. Geo.National enables network solutions on a national scale, and Geo.Metro provides users with an Ethernet service within the London area. Customers include mobile operators, service providers, major banks and the public sector. Please visit http://www.geo-uk.net for more information.
Formed in 1997 Alchemy is a private equity advisory business based in London which specialises in buy-outs, buy-ins and the provision of later stage development capital. It has advised on over 100 transactions to date with funding from high quality blue chip investors including major banks, pension funds and universities.
About Hutchison Whampoa
Hutchison Whampoa Limited (HWL) is a Fortune 500 company and one of the largest companies listed on the Hong Kong Stock Exchange. It is a leading international corporation with businesses spanning the globe. With operations in 56 countries and over 230,000 employees worldwide, Hutchison has five core businesses - ports and related services; property and hotels; retail; energy, infrastructure, investments and others; and telecommunications.
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