Cube Infrastructure Managers’ (Cube) Connecting Europe Broadband Fund (CEBF) has invested €40 million (US$45.29 million) in a fibre-to-the-home (FTTH) project operated by Spain’s ASTEO Red Neutra, a new wholesale FTTH operator.

The investment is CEBF’s eighth in Europe and the second one in Spain.

The fund managers said It will allow to deploy FTTH infrastructure, in line with CEBF’s mission to enhance connectivity for people and corporations across Europe.

ASTEO Red Neutra facilitates connectivity and digitalisation so that telecommunication operators can provide communication services to rural areas. The company will first cover c.500 towns and villages via its transmission infrastructure.

As part of its development, ASTEO Red Neutra has also applied to be included in the UNICO-Broadband Programme, a programme for the Universalisation of Digital Infrastructures for Cohesion-Broadband, promoted by the Spanish Ministry of Economic Affairs and Digital Transformation.

This program includes a dedicated budget of €250 million ($290.3 million) that will be used for projects awarded in 2021.

Izzet Guney, Managing Director at Cube Infrastructure Managers, said: “We are pleased to announce this new investment which will allow the deployment of new fibre networks generation to connect less populated areas across Spain.

“With this transaction, CEBF is pursuing its investment program in a dynamic environment while continuing to push for an acceleration of fibre deployment at European level.”

Founded in 2007, Cube Infrastructure Managers is an independent management company, focusing on investments in the European infrastructure space addressing the essential infrastructure needs of local public authorities and populations, and fully consistent with its ESG commitments.

Cube Infrastructure Managers has raised an aggregate €3.7 billion ($4.3 billion) and manages four funds. Cube Infrastructure Fund, Cube Infrastructure Fund II and Cube Infrastructure Fund III are focusing on investments in regulated, brownfield infrastructure and target mainly three strategic markets, Public Transport, Energy Transition and Communication Infrastructure, with a “Buy & Grow” strategy.

The CEBF is an infrastructure fund focusing on greenfield and expansion projects in the European broadband infrastructure space with €555 million ($644.47 million) of committed capital.

Since its creation, Cube has successfully made more than 30 investments across Europe and will continue to invest in investment opportunities with strong growth potential.