KKR will acquire a majority interest in PangeaCo and the existing fiber optic networks of Telefónica del Perú and Entel Perú to build Perú’s first nationwide open access wholesale fiber optics company. Financial terms were not disclosed, although KKR said it plans to make approximately US$200 million of additional investment to more than double the ultra-fast fiber network from more than 2 million homes passed today to reach 5.2 million homes passed across 86 provinces by the end of 2026.
The deal will combine the existing fiber optic networks of PangeaCo, Telefónica del Perú, and Entel Perú into an independent company called ON*NET Fibra de Perú. KKR will own a 54% interest in ON*NET Fibra de Perú alongside Telefónica Hispanoamérica, which will own 36%, and Entel Perú, which will own 10%.
Significantly, the newly formed network will be open access, allowing usage to all internet service providers for the first time. Telefónica del Perú and Entel Perú will be anchor tenants.
Through the combination of these networks, KKR will establish ON*NET Fibra de Perú as the new name for the platform which will independently build and operate the nation’s largest fiber optic network with world-class quality standards.
The entire ON*NET Fibra de Perú fiber optic network will be open to use by all internet service providers, increasing competition in the wholesale market.
