CHICAGO--(BUSINESS WIRE)--Cobalt Broadband Services S.A. de C.V., a wholly owned operating subsidiary in Mexico of Cobalt Holdings, Inc., has closed a substantial credit facility with the Mexico Credit Opportunities Fund II, managed by Credit Suisse Asset Management.
Cobalt Holdings, Inc., through its wholly owned operating subsidiary in Mexico, Cobalt Broadband Services S.A. de C.V. (CBS), will accelerate its development of its 180-kilometer fiber-optic broadband network from Cancun to Tulum – one of the fastest growing tourism destinations in the world. The Company’s GigNet branded network offers hotels and resorts and their customers Internet speeds, service quality, and network security never before offered in the Mexican Caribbean.
In addition, a 5,000-square-foot facility in Cancun is being completed to serve as the Company's primary Sales and Marketing Office and Network Operations Center (NOC). Located in the heart of the Cancun Business district, the facility will also serve as a support center and administrative office.
“This financing accelerates market entry to provide both Managed Services to hotels and resorts and wholesale bandwidth to other carriers and enterprises in the region. Together, these segments are projected to create strong revenue growth and sustainable cash flow,” said Paul A. Moore, Chairman and CEO of Cobalt Holdings. “We are very excited to reach this important financial milestone with the support of the Cobalt management team,” he added.
“We are pleased to be a part of this project as financial partners for the development of this broadband network. The Mayan Riviera is a key tourism destination for Mexico, and we see great opportunity for Telecom infrastructure to be further developed in this market in line with increased demand from hotel and tourism investments,” said Andres Borrego, Managing Director and Head of Credit Suisse Asset Management for Mexico.
Credit Suisse Asset Management is a business within Credit Suisse AG’s International Wealth Management division. Credit Suisse Asset Management manages approximately CHF 391.2 billion in assets globally as of March 31, 2018, across a variety of alternative and traditional strategies and products. In Mexico, the group manages several country dedicated funds that incorporate Private Debt, Private Equity and Commercial Real Estate strategies.
Cobalt Holdings, Inc., through its wholly owned Mexico operating subsidiaries, Cobalt Broadband Services S.A. de C.V., and Sanalto Redes Peninsular, S.A.P.I. de C.V., is a licensed telecommunications provider in Mexico. The Company is building an advanced broadband network in the Mexican Caribbean, one of the largest and fastest growing tourism destinations in the world, with over 160,000 hotel rooms and over 23 million annual visitors. CBS is represented by Jáuregui y Del Valle, S.C. in Mexico and Nixon Peabody LLP in Chicago.