ACT Fibernet up for sale; deal likely at $1 bn valuation

The owners of ACT Fibernet have decided to sell the company at a valuation of around $1 billion, three people familiar with the development said, five years after a failed deal to sell the broadband internet provider.

- Sneha Shah

ACT Fibernet was founded in 2000 in Bengaluru.

(ISTOCKPHOTO)

Private equity firms True North and TA Associates have appointed investment banks Nomura and Ambit Capital to find potential buyers for Atria Convergence Technologies Ltd, which provides ACT Fibernet internet services in more than 30 cities, the people cited above said on the condition of anonymity. The two PE firms jointly hold 94.66% in ACT Fibernet, according to CareEdge Ratings.

"The investors have been around for more than a decade," one of the three people said, adding that banks have been appointed for the deal. The banks have sent the information memorandum to prospective buyers and will sign nondisclosure agreements with them soon, the person said.

The sale plan puts the internet provider back on the block. In 2021, Swiss private equity firm Partners Group had agreed to acquire buy 75% stake in ACT Fibernet from True North and TA Associates at an enterprise value of roughly $1.2 billion. However, the sale fell through.