Omni Fiber announces $150 Million in financing from Stonepeak Credit to continue rapid expansion in the Midwest

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Jul 16, 2024, 07:00 ET

CINCINNATI, July 16, 2024 /PRNewswire/ -- Omni Fiber, a regional Fiber Internet Service Provider with operations in over 25 markets in Ohio and Pennsylvania backed by Oak Hill Capital, today announced the closing of $150 million in debt financing from Stonepeak Credit.

Founded in 2022 by management and Oak Hill, Omni Fiber has invested over $250 million in building an XGS-PON fiber network and is on track to reach approximately 200,000 locations by the end of the year. The financing from Stonepeak Credit will fund rapid expansion into more communities in Ohio, Pennsylvania, and Michigan.

Omni Fiber launched its service in late 2022 and now serves residential and business customers in over 25 small and mid-size communities. Construction is in progress in over 15 additional communities, and network design and engineering activities are ongoing in many others.

Omni Fiber's founding CEO, Darrick Zucco said, "We are excited about the additional opportunities this financing enables. The company's network expansion not only brings choice to communities with limited options for reliable, ultra-high-speed Internet service but also creates hundreds of new jobs at Omni Fiber and local contractors. The halo effect on economic development for the impacted towns is significant."

Scott Baker, Managing Partner at Oak Hill Capital, added "It has been a uniquely rewarding experience to partner with Darrick and his talented leadership team. We are thrilled by the rapid growth of Omni Fiber and are committed to continuing investing behind the team as they expand their fiber services to underserved markets in Ohio, Pennsylvania, and Michigan."

Ryan Roberge, Senior Managing Director at Stonepeak, added "We are proud to partner with Omni Fiber and Oak Hill Capital to support Omni's next phase of growth. Our team was thoroughly impressed with Darrick and the rest of Omni's management team and their plans to expand Omni's next generation fiber network to additional communities in the Midwest. We look forward to continuing our partnership with Omni and Oak Hill Capital over the long-term."

With the additional funding, Omni Fiber expects to accelerate the pace of expansion and announce more communities in the next few months.

About Omni Fiber
Omni Fiber was founded in 2022 and is backed by Oak Hill Capital, one of the largest investment firms in the telecommunications industry. Based in Ohio, Omni Fiber is led by a leadership team with 100+ years of combined industry experience and provides 100% fiber-optic broadband Internet, TV, and Phone services to residential and business customers in the Midwestern United States. Omni Fiber offers symmetrical speeds of up to 10 Gbps, no hidden fees, no data caps, Premium Wi-Fi included, local customer service, and competitive pricing. For more information, please visit www.omnifiber.com.

About Oak Hill Capital
Oak Hill is a longstanding private equity firm focused on the North America middle-market. Oak Hill applies a specialized, theme-based approach to investing in the following dedicated industry sectors: Media & Communications, Industrials, Services, and Consumer. The Firm implements a highly systematic approach to theme development, proactive origination, and value creation in partnership with management to build franchises of lasting value. Over the past 35+ years, Oak Hill and its predecessors have raised approximately $20 billion of initial capital commitments and co-investments, invested in approximately 100 companies, and completed more than 300 add-on acquisitions representing an aggregate enterprise value at acquisition of over $60 billion. For more information, please visit www.oakhill.com.

About Stonepeak
Stonepeak is a leading alternative investment firm specializing in infrastructure and real assets with approximately $71.2 billion of assets under management. Through its investment in defensive, hard-asset businesses globally, Stonepeak aims to create value for its investors and portfolio companies, with a focus on downside protection and strong risk-adjusted returns. Stonepeak provides capital, operational support, and committed partnership to grow investments in its target sectors, which include communications, energy and energy transition, transport and logistics, and real estate.

Stonepeak is a sponsor of private equity and credit investment vehicles. Stonepeak Credit provides credit solutions to infrastructure sponsors and companies.

Stonepeak is headquartered in New York with offices in Hong Kong, Houston, London, Singapore, and Sydney. For more information, please visit www.stonepeak.com.

Omni Fiber Media Contact:
Andres Tovar
[email protected]
513-480-9610

SOURCE Omni Fiber