New business update

CITYFIBRE INFRASTRUCTURE HOLDINGS PLC

('CityFibre' or the 'Group' or the 'Company')

New business update

A record month for new business on the York CORE network

CityFibre (AIM: CFHL), a leading designer, builder, owner, and operator of fibre optic infrastructure in UK towns and cities, is pleased to report that its flagship York CORE network enjoyed a record month for new sales in June 2015.

In total, the Company signed contracts covering 70 new connections during the month, for a total contract value ('TCV') of £527,000. The new connections span a diverse range of sites, including public safety (school security and traffic enforcement CCTV), business and data centre connectivity, and landmark public sector amenities such as the York Theatre Royal and the York Eco Business Centre.

The latest additions to the network take the incremental TCV added to the York project to £3.4m, an increase of 79% over the initial anchor contract. In keeping with the Company's financial return targets for incremental business, TCV/capex coverage on these new connections is well in excess of 100%, with an average payback period of 24 months.

Greg Mesch, Chief Executive of CityFibre, commented:

"These latest sales figures from York are a great validation of the ongoing demand for fibre connectivity to every conceivable category of end user under our Gigabit City model. We started out under the York anchor contract with just 105 connected sites, and this latest set of connections will take us to 348 across the city, or roughly three connections per kilometer of network. This is well ahead of international benchmarks and underlines the strength of our shared infrastructure model. Moreover, the financial metrics of new business remain strong, in line with our long-term strategy of delivering high returns on incremental capital deployed."

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About CityFibre:

CityFibre enables gigabit connectivity through designing, building, owning, and operating fibre optic network infrastructure. It is the largest independent provider of fibre infrastructure to mid-sized cities and major towns across the UK, providing gigabit-capable infrastructure for enterprise and public sector organisations, service providers, mobile network operators and businesses.

The Group owns and operates 543 route kilometres of local access networks serving 885 customer locations in 60 towns and cities in the UK, including York, Coventry, Peterborough, Huddersfield, Hull, Sheffield, Newcastle, Dundee, Bath, Derby and Doncaster.

To date the Company has launched five Gigabit City projects in York, Peterborough, Coventry, Aberdeen, and Edinburgh, where city-wide pure fibre networks known as 'COREs' bring world-class Internet connectivity and the benefits of gigabit speeds to every aspect of the city's community. The CityFibre COREs are deployed using the Company's Well Planned City (WPC) design philosophy, in which its city-wide core fibre infrastructure is designed with thousand-strand fibre cables in dual ducts optimally routed to serve the present and future demand of the public sector, mobile base stations, business park estates, and ultimately designed to serve as feeder and distribution network for Fibre-to-the- Home deployments.

CityFibre is also a proud member of a joint venture with TalkTalk and Sky. Established in early 2014, the collaboration aims to prove the viability of gigabit speed Fibre-to-the-Premises (FTTP) networks and services for homes and businesses. Work is currently underway to connect tens of thousands of homes and businesses in York to a future-proof FTTP modern digital infrastructure.

CityFibre is based in London, United Kingdom, and its shares trade on the AIM Market of the London Stock Exchange (AIM: CFHL).

To find out more, please visit: www.cityfibre.com