Regional fiber broadband provider NOVOS FiBER and its sister company PRIME FiBER say they are investing $130 million in the Phoenix, Arizona market. Construction is underway, according to the companies.
NOVOS FiBER was established in 2023 to provide connectivity to residences and small businesses in Dallas-Fort Worth, Texas. PRIME FiBER is an open-access provider currently building in Florida. Both NOVOS and PRIME are backed by InLight Capital, a private investment firm headquartered in Sugar Land, Texas.
“Phoenix is a highly strategic market for us,” NOVOS FiBER and PRIME FiBER CEO Andrew Snead said in the investment announcement. “We are delighted to start construction in the city and look forward to bringing residents and small businesses high-speed fiber internet in the coming weeks.”
Last October, PRIME FiBER announced that they were expanding to Bonita Springs and Naples, Florida.
That announcement also said that NOVOS FiBER and PRIME FiBER had closed their first senior secured debt facility, which was for $75 million. It was done through its holding company, IL Fiber TopCo LLC. The move gave the companies joint access to as much as $175 million, including a $100 million “accordion.”
Investopedia says accordions “allow a borrower to expand the maximum allowed on a credit line or add a term loan to a credit agreement.”
In January, 2024, Snead told Telecompetitor that it would be investing at least $20 million in Arlington, Texas. At the time, it was NOVOS FiBER’s second service area in Texas but the first to be publicly announced. Whether the Arlington project is synonymous with the Dallas-Fort Worth project or if they are different projects is unclear.
