York FTTH JV completes first tranche

CITYFIBRE INFRASTRUCTURE HOLDINGS PLC

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

CityFibre announces completion of first phase FTTP roll-out in York with Joint Venture partners Sky and TalkTalk

CityFibre (AIM: CFHL), a leading designer, builder, owner and operator of fibre optic infrastructure to enable gigabit connectivity in UK towns and cities, today announces that the Joint Venture with Sky and TalkTalk to build a city-wide, pure fibre-to-the-premises network in the City of York, has successfully completed the first phase of its construction.

This first phase has focused on enabling the Joint Venture partners to validate key network design principles, engineering processes and deployment economics. Based on the encouraging results and progress of this first phase, the Joint Venture has now approved the next phase of deployment, which will accelerate and increase the scale, bringing gigabit speed connectivity to thousands more properties in York.

The project will continue to develop and test the optimal FTTP deployment methods and the ability to scale roll-outs in order to create a state of the art pure fibre network fully independent of BT Openreach's infrastructure. The network will be deployed and tested in preparation for the launch of services by Sky and TalkTalk later in the year.

Greg Mesch, CEO at CityFibre said: "We are really pleased with what we have accomplished so far. As a team, Sky, TalkTalk and CityFibre have validated a network design for true ultra-fast Fibre to the Home (FTTH) for residents and Fibre to the Premises (FTTP) for business users. This next phase will accelerate the deployment and will further help to determine the scalability of the infrastructure. Without the bottlenecks that exist in traditional networks, an ultra-fast fibre infrastructure will future-proof a city, offering superior quality of service and higher speeds as demand for bandwidth increases."

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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 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