Italy’s Open Fiber SpA is initiating preliminary work to refinance approximately €8 billion ($9 billion) of bank debt, positioning it as one of Europe’s largest fiber-sector debt transactions. The Rome-based network operator, owned by CDP Equity and Macquarie Asset Management, aims to extend maturities of existing project financing before eventually accessing capital markets. Discussions remain in early stages, with a target refinancing timeline set for 2027 ahead of debt maturities in February 2029.
Open Fiber has played a central role in Italy’s broadband infrastructure development through its proposed combination with KKR & Co.-backed Fiber Cop, formerly part of Telecom Italia SpA. However, disagreements over valuation and credit ratings have hindered merger progress. The company stated it is "constantly monitoring financial markets" to optimize its financial structure.
The refinancing effort occurs amid surging borrowing for digital infrastructure driven by AI expansion, while European fiber operators face challenges from intense competition and tighter lender scrutiny. Open Fiber seeks additional borrowing capacity of a few hundred million euros and may enter the bond market in 2028 or 2029 when stronger cash generation supports improved credit ratings.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing