- Lending group led by DigitalBridge Credit to provide
incremental debt capital to support the accelerated deployment of
fiber to underserved communities across the Great Lakes
Region
- Increases debt facility by $100
million and follows a year of continued growth
ELKHART,
Ind., Dec. 21, 2023 /PRNewswire/ -- Surf
Internet, a leading fiber-optic high-speed internet service
provider in the Great Lakes Region, today announced that it has
secured an upsized $200 million debt
facility from the existing lending group consisting of
DigitalBridge Credit, a division of DigitalBridge Group, Inc.
(NYSE: DBRG), Canada Pension Plan Investment Board ("CPP
Investments") through its subsidiary CPPIB Credit Investments Inc.
("CPP Credit Investments"), as well as a new commitment from
Boundary Street Capital ("Boundary Street"). Surf Internet secured
the incremental debt capital to support and continue the company's
mission to transform broadband in the Great Lakes Region by
expanding its dense fiber networks into more communities.
The incremental capital will support Surf's
plan to expand its network while strengthening its multigig
capabilities.
The upsizing will double the existing $100 million debt facility put in place in
February 2023, which was used to fund
the company's 2023 strategic growth plan. Since February, Surf has
maintained significant momentum, announcing in November that they
had completed their 100,000th passing of fiber-optic
connectivity across Indiana,
Illinois, and Michigan.
"We are thrilled to enter the next phase of accelerated
expansion with continued support from our highly experienced
digital infrastructure investment partners who all share our vision
for building Surf into one of the leading fiber-to-the-premise
(FTTP) providers in the country," said Gene
Crusie, CEO of Surf Internet.
"We are pleased to continue our partnership with DigitalBridge
Credit and CPP Credit Investments, as well as bringing in our new
partner, Boundary Street, through this meaningful debt upsizing.
Our lending partners have been steadfast in their conviction in
Surf Internet, alongside our equity partners, Bain Capital and Post
Road Group, who remain committed to our growth strategy," added
Ryan Delack, CFO of Surf
Internet.
The incremental capital will support Surf's plan to expand its
network while strengthening its multigig capabilities. Surf has a
strong pipeline of attractive build opportunities to nearly double
its fiber passings in 2024.
"We are proud to partner with CPP Credit Investments and
Boundary Street in accelerating the deployment of
fiber-to-the-premise buildouts, driven by a strong demand for
connectivity," said Chris Moon,
Managing Director at DigitalBridge Credit. "We are excited to
contribute to this next phase of growth and value creation,
continuing our support for Gene, Ryan, and the entire team at Surf
Internet."
The transaction closed on December 12,
2023. Houlihan Lokey served
as exclusive financial advisor and placement agent to Surf Internet
and Kirkland & Ellis LLP served as legal counsel. White &
Case LLP served as legal counsel to DigitalBridge Credit as the
lead lender.
About Surf Internet
Surf Internet is an innovative fiber-optic internet company that
serves as the essential gateway to connectivity across the Great
Lakes Region of Illinois,
Indiana, and Michigan. The company is building a bridge to
the wide-open future by delivering high-speed, reliable internet to
homes and businesses in underserved, rural communities. Surf's
200-plus person team is local, giving them an edge when it comes to
customer care and advocacy for the region. Headquartered in
Elkhart, Ind., Surf also has
offices in La Porte, Ind., Byron
Center and Fowlerville,
Mich., and Coal City and
Rock Falls, Ill. Learn more at
https://surfinternet.com.
About DigitalBridge
DigitalBridge Group, Inc. (NYSE: DBRG) is a leading global
digital infrastructure investment firm. With a heritage of over 25
years investing in and operating businesses across the digital
ecosystem including cell towers, data centers, fiber, small cells,
and edge infrastructure, the DigitalBridge team manages a
$48 billion portfolio of digital
infrastructure assets on behalf of its limited partners and
shareholders. Headquartered in Boca
Raton, DigitalBridge has key offices in New York, Los
Angeles, London, and
Singapore. For more information,
visit: www.digitalbridge.com.
About CPP Investments
Canada Pension Plan Investment Board (CPP Investments™) is a
professional investment management organization that manages the
Fund in the best interest of the more than 21 million contributors
and beneficiaries of the Canada Pension Plan. In order to build
diversified portfolios of assets, investments are made around the
world in public equities, private equities, real estate,
infrastructure and fixed income. Headquartered in Toronto, with offices in Hong Kong, London, Luxembourg, Mumbai, New York
City, San Francisco, São
Paulo and Sydney, CPP Investments
is governed and managed independently of the Canada Pension Plan
and at arm's length from governments. At September 30, 2023, the Fund totaled C$576 billion. For more information, please visit
www.cppinvestments.com
About Boundary Street Capital
Boundary Street is a unique private credit investment manager
focused on providing flexible capital solutions specifically to
lower middle market technology and telecommunications businesses
and backed by a team of investment professionals with decades of
experience investing in these sectors. Boundary Street seeks to
invest credit in durable, recurring revenue businesses providing
the mission critical services that will drive economic growth,
bridge the digital divide, and keep families and businesses
connected. The firm's access to unique cost-effective committed
capital positions Boundary Street to support American business
while providing attractive risk-adjusted returns for our investors.
To learn more, visit www.boundarystreetcapital.com
About Bain Capital
Bain Capital, LP is one of the world's leading private
multi-asset alternative investment firms that creates lasting
impact for our investors, teams, businesses, and the communities in
which we live. Since our founding in 1984, we've applied our
insight and experience to organically expand into numerous asset
classes including private equity, credit, public equity, venture
capital, real estate and other strategic areas of focus. The firm
has offices on four continents, more than 1,500 employees and
approximately $160 billion in assets
under management. To learn more, visit www.baincapital.com.
About Post Road Group
Post Road Group is an alternative investment advisory firm with
over $1.5 billion of assets under
management, located in Stamford,
CT. Post Road originates and executes investments across
four distinct but complementary strategies: Corporate, Real Estate
Credit, Real Estate Equity and Specialty Finance. Since its
founding in 2015, the firm has invested and committed over
$2.5 billion of capital. To learn
more, visit www.postroadgroup.com.
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SOURCE Surf Internet