KKR and T-Mobile complete acquisition of fiber provider Metronet

Published 25/07/2025, 04:36
KKR and T-Mobile complete acquisition of fiber provider Metronet

NEW YORK - Investment firm KKR (NYSE:KKR), a prominent $133.7 billion market cap player in the Capital Markets industry with a "GOOD" financial health rating according to InvestingPro, and telecommunications company T-Mobile have completed their previously announced acquisition of Metronet, one of the largest independent fiber-to-the-home providers in the United States, according to a press release statement.

The transaction creates a joint venture that combines Metronet’s broadband infrastructure with T-Mobile’s national reach to accelerate fiber deployment across underserved markets.

Metronet currently provides multi-gigabit internet service in more than 300 communities across 19 states. The company’s fiber network covers over 42,000 miles and reaches more than 2.6 million homes and businesses.

Under the new structure, Metronet will become a wholesale internet services provider, with T-Mobile Fiber serving as its partner for residential service. T-Mobile Fiber has acquired Metronet’s residential customers and will handle customer acquisition, support, and experience. Metronet will continue to build and maintain fiber-optic network infrastructure and install service for new customers. The company has retained its commercial-services business.

"Metronet has built the industry’s most efficient fiber-construction engine, bringing world-class digital infrastructure to underserved communities at an unprecedented pace," said Dave Heimbach, Chief Executive Officer of Metronet.

The acquisition expands KKR’s digital infrastructure portfolio, which includes investments in fiber networks reaching approximately 30 million homes across the U.S., Europe, and Latin America. KKR (NYSE:KKR) has committed $31 billion of equity into digital infrastructure and over $20 billion into power and renewables, according to the statement. With a strong current ratio of 1.7 and annual revenue of $20.3 billion, KKR continues to demonstrate robust financial performance. InvestingPro analysis reveals 14 additional key insights about KKR’s investment potential, available through their comprehensive Pro Research Report.

Metronet has been building and operating fiber networks since 2005. KKR, currently trading above its InvestingPro Fair Value, has maintained consistent dividend payments for 16 consecutive years and shows strong returns over multiple timeframes. Discover more detailed analysis and valuable insights about KKR’s financial performance through the InvestingPro platform, which offers extensive metrics and expert analysis for over 1,400 US stocks.

In other recent news, KKR has signed an agreement to acquire a minority stake in Etraveli Group, a global travel technology firm. While the financial specifics of this transaction have not been disclosed, it highlights KKR’s strategic interest in expanding its portfolio within the travel tech sector. Additionally, KKR has made a strategic investment in SupplyHouse, an e-commerce platform specializing in HVAC, plumbing, and electrical products. This partnership aims to bolster SupplyHouse’s long-term growth strategy, although the financial terms remain undisclosed.

Furthermore, KKR is exploring a potential acquisition of Italian healthcare technology company GPI SpA. The firm is reportedly consulting with advisers about possibly taking the company private. In another development, KKR has agreed to purchase Perrigo’s dermacosmetics business for up to €327 million, including €300 million in upfront cash and potential additional payments contingent on sales milestones.

Lastly, Citizens has downgraded KKR’s stock rating to Market Perform, citing valuation concerns after a significant stock price recovery since April. This downgrade reflects the firm’s cautious stance on KKR’s current market valuation.

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