The great European infra sell off continues as investors’ appetite for fibre and data centres ramps up
The Financial Times, citing unnamed sources, reports that EQT has put wheels in motion to sell GlobalConnect. EQT Infrastructure created GlobalConnect in 2019 by combining the four independent fibre platforms it owned in Denmark, Norway and Sweden. It is thought that EQT is looking to reinvest in digitalising sectors such as healthcare
GlobalConnect provides broadband to more than 900,000 households across Norway, Sweden, Denmark, Finland and northern Germany, and about 30,000 business customers and public sector bodies. It also operates 23 data centres and owns 27 subsea cables.
GlobalConnect reported revenues of 8.1 billion SEK (€733 million) with adjusted earnings before interest, taxes, depreciation, and amortisation of around 4.8 billion in 2024. In July, it sold the accounts of 140,000 domestic Norwegian customers to Telenor.
According to the FT, it expects the business will be valued at €8 billion, and wishes to sell it in its entirety rather than piecemeal, although the purchase might be in stages. EQT sold a 15% interest to Abu Dhabi’s s sovereign investor acquires Mubadala in 2022 for an undisclosed sum.
EQT got the ball rolling in building GlobalConnect when when it agreed to acquire an 80% share in GlobalConnect from the founding Zibrandtsen family in December 2016, the transation went through the following year. The sale price was never made public, but there was speculation in the Danish press at the time that transaction was for about DKK 2 billion (€268 million).
Goldman Sachs to advise
Now Goldman Sachs is to advise on the proposed sale of GlobalConnect. If the deal goes ahead, it would be one of the biggest sales of digital infrastructure in Europe this year. The FT sees this potential transaction as part of a trend this year – selling off major European digital infrastructure assets – in line with investors’ desire for fibre and data centre assets.
The report points of that Brookfield is selling French telecom towers group TDF, while Patrick Drahi restarts the sales process for XpFibre [subscription needed] after talks stalled in the summer over the valuation, and DWS is set to launch a €2 billion sale of NorthC data centres.
The AIInvest website called EQT’s proposed transaction, “A Blueprint for Value Creation” and wrote:
“EQT’s GlobalConnect divestiture exemplifies how private equity firms leverage market dynamics to identify and monetize undervalued assets. By timing exits to capitalize on sector-specific demand and structural premiums paid by private equity buyers, firms like EQT can optimize returns while addressing evolving investor expectations for liquidity. For investors, the transaction highlights the importance of scrutinizing valuation metrics and sector trends to uncover opportunities where private equity’s strategic vision outpaces traditional corporate benchmarks.
“As the Nordic digital infrastructure sector continues to mature, transactions like GlobalConnect’s sale will likely set new standards for valuing connectivity assets in an increasingly data-driven world.”
