Akanda Corp. announced an expansion of its dark fiber network in Mexico, adding approximately 200 km to reach about 900 km total, which is expected to generate approximately $2.0 million in contracted cash flow over 10 years.
Key takeaways
Akanda's subsidiary FTF expanded its dark fiber network by approximately 200 km, increasing total coverage to about 900 km across Central Mexico.
The expansion is backed by a long-term IRU agreement expected to generate approximately USD $2.0 million in contracted cash flow over a 10-year period.
The revenue is underpinned by existing enterprise customers under a Master Lease structure with a five-year initial term and a five-year renewal option.
FTF believes dark fiber assets benefit from low operating costs and significant incremental margin expansion, enabling strong free cash flow conversion.
The expansion enhances network density and interconnectivity, creating a scalable backbone capable of supporting rapid customer growth with limited incremental capital expenditure.
This acquisition represents the first step in a broader pipeline of proposed targeted transactions aimed at consolidating premium fiber assets across Mexico.