Netomnia completes £300m junior debt raise with additional £140m

In a development that the UK’s fourth largest full-fibre network has said reinforces confidence in its ability to deliver at scale while staying on track with its profitability targets, and in the face of stiff economic headwinds hitting similar companies, UK alternative network provider (altnet) Netomnia has announced that it has added £140m to its junior debt raise.

The investment builds on Netomnia’s £880m senior debt commitment, bringing total debt funding support to £1.2bn, and completes the  £300m junior debt raise round. The additional £140m subscribed through increased commitments from I Squared Capital and Palistar Capital alongside new lenders Rand Merchant Bank (RMB) and Bain Capital. The remaining £160m comes from existing investors I Squared and Palistar, originally part of the May 2025 funding.

Further supported by Advencap, DigitalBridge and Soho Square Capital, Netomnia undertook a merger with fellow altnets YouFibre and Brsk in the summer of 2024 and the merged company’s full-year results for 2024 showed the firm solidifying its position as the UK’s second-largest altnet.

The company ended 2024 with 2.08 million premises serviceable, adding 1.27 million in the year in which it made an acquisition adding 255,000 in the final quarter. It had 238,000 premises connected in the 12-month period, representing 171,000 in a year and 48,000 in Q4 2024.

Such customer growth generated revenue of £38.6m, a year-on-year (YoY) rise of 321%, with adjusted EBITDA of £29.6m, an annual rise of 13%. Fiscal take-up was 11.5%, up 38% YoY, and net debt was £531m, up 223% compared with the end of 2023.

Together with YouFibre and Brsk, Netomnia currently serves 2.7 million premises serviceable and 375,000 premises connected. With an annual build rate of one million premises, Netomnia said that it is on track to achieve three million premises serviceable by the end of 2025 and is targeting five million by the end of 2027.

Netomnia said that, together with YouFibre and Brsk, they were “firmly” on track to become the UK’s most scaled and capital-efficient retail, wholesale and consolidation platforms.

“The last funding round was oversubscribed, showing the clear demand for Netomnia from both new and existing lenders,” said Jeremy Chelot, group CEO of Netomnia, YouFibre and Brsk. “Our mission remains clear: connecting millions more homes and businesses with the UK’s most powerful internet.”

Robert Leon, global co-head of IBD and sponsor client segment at RMB, added: “Netomnia has established itself as one of the UK’s leading digital infrastructure players, combining rapid roll-out with cost efficiency while driving the delivery of critical connectivity across the UK. RMB is proud to partner Netomnia and its shareholder grouping once again as part of our sponsor-led strategy”

David Haswell, a director at Bain Capital, said: “Bain Capital is delighted to support Netomnia as they reshape the UK fibre market by delivering both innovation and resilience in critical infrastructure. The leadership team has an impressive track record of execution and a clear vision for the next phase of bringing affordable, full-fibre connectivity to more UK consumers.”