The private infrastructure investment arm of CBRE Global Investors is buying a US fibre network operator.

CBRE Caledon Capital Management said it has agreed to acquire WANRack, the provider of broadband services, primarily to K-12 school districts across the US.

CBRE Caledon is investing an undisclosed amount to make the investment on behalf of a fund sponsored by the firm as well as one of its separately managed accounts.

WANRack’s management will retain an equity stake in the company, and the business will continue to be led by its original founder and CEO, Rob Oyler.

WANRack currently serves more than 450 schools with tailored fibre lease solutions. The company plans to leverage its network in core markets to expand into the commercial segment.

Noi Spyratos, partner at CBRE Caledon, said: “WANRack has established itself as a vital player in the US fibre space by building and owning dedicated fibre networks, which connect K-12 schools in underserved communities with private, high-speed broadband connectivity.

“We are delighted to partner with an experienced management team to support the continued growth in E-Rate and build out the company’s commercial fibre strategy.”

Stephen Dowd, CIO, private infrastructure strategies for CBRE Global Investors, said: “We are excited to complete this investment on behalf of one of our funds and separately managed account clients as we continue to invest in digital assets and infrastructure for the new economy.

“We believe the business, supported by the long-term nature of the contracts, will provide the resilient and non-cyclical characteristics that our investors are seeking.”

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