EWII selling its fiber network to Norlys

The energy and drinking water conglomerate EWII is selling its fiber network to the energy and telecom conglomerate Norlys, which will take over approximately 135,000 addresses. Consequently, EWII concludes a significant chapter in the company's history and shifts focus towards the development of new infrastructure, while the acquisition helps Norlys fulfill its strategy to support the expansion of the fiber network.

Denmark's largest fiber network will now expand its coverage area by an additional 135,000 addresses. EWII and Norlys have signed an agreement whereby Norlys will acquire EWII’s fiber network, covering roughly 135,000 addresses in the Triangle Region. The transaction is contingent upon approval from Norlys' board of representatives and the Danish competition authorities.

The sale marks the largest transaction in the EWII Group’s history, effectively culminating the Group's mission to deploy fiber network in the Triangle Area.

"We have now deployed fiber across our entire ownership geography, thus completing our mission in fiber. The divestment is, therefore, a logical next step. Being a customer-owned companies, Norlys share our values, and this makes Norlys a natural new owner. It was particularly important for me to ensure a bright future for the employees at EWII Fibernet, and I am pleased that they will continue securely under the new ownership," says Lars Bonderup Bjørn, CEO of the EWII Group.

Upon completion of the transaction, Norlys will take over 48 employees currently working at EWII Fibernet.

For EWII, the sale of the fiber network allows the company to concentrate on developing new infrastructure and activities addressing climate and environmental issues.

"It has been nearly 20 years since we first rolled out part of the fiber network. In 2019, we made a significant decision to consider access to the fiber network as a mandatory service, and therefore, to deploy fiber to everyone in the supply area. This effort is now nearly complete, and I am proud that EWII, in line with our purpose statement, stands behind significant value creation for the Triangle Region," says Lars Bonderup Bjørn.

A Perfect Match

With the acquisition of EWII’s fiber network, Norlys will now cover over one million addresses with fiber.

"It's essential that we have the necessary scale to support the ongoing development of fiber infrastructure in Denmark. That was one of the reasons why we brought in two external investors two years ago, who contribute with capital and valuable insights from other European markets. The purchase of EWII’s fiber network is part of a long-term growth plan and a perfect match for our existing business both commercially and geographically, says Niels Duedahl," CEO of the Norlys Group.

The EWII Group was the first to open its fiber network to all internet service providers offering customers more choices. Initially, the agreement will not affect EWII’s current fiber customers, and Norlys will ensure that customers in the Triangle Region continue to have extensive options.

"At Norlys, we believe our fiber network should be open to all service providers, as it provides customers with maximum choice and the most competitive offers. Therefore, customers in the Triangle Region will naturally also be able to choose from the ten internet and TV providers active on Norlys’ fiber network," says Carsten Bryder Thejls, CEO of Norlys’ fiber business.

The transaction is expected to be finalised by the end of 2024