Aberdeen fund to take $271 million hit after broadband provider Airband's collapse, source says. Posted on August 28, 2026 · Last updated: August 28, 2026 Aberdeen suffers $271M hit after Airband broadband provider collapse. Aberdeen faces major write-off following Airband administration. Aug 28 (Reuters) - British asset manager Aberdeen will take an about £200 million ($271.72 million) hit to one of its infrastructure funds following the collapse of UK broadband provider Airband, a source familiar with the matter said on Friday. Aberdeen's response to Airband collapse. "Following a disciplined review of future funding requirements and risk-adjusted return prospects, we made the difficult decision to cease further funding," an Aberdeen spokesperson said. Aberdeen declined to comment on the size of the write-off. Details of Airband's administration and asset sale. Airband's entry into administration. - Airband entered administration amid significant sectoral headwinds and subsequently sold its assets and customer base to UK-based broadband company Voneus. Acquisition by Voneus. - On Friday, Macquarie-backed Voneus said it completed the acquisition of Airband's assets and customers, but did not disclose any financial terms. - The deal was struck at a sum in the single-digit millions, according to a report by the Financial Times, which first reported the write-off on Friday. Impact on lenders. - Airband's lenders, including HSBC and Lloyds, will also take a hit from the sale of the broadband provider, the FT said citing people familiar with the matter. - Lloyds and HSBC declined to comment. Broader market context and future outlook. Challenges facing smaller broadband providers. - Airband's collapse comes as many smaller broadband providers struggle to earn a return, after BT and dozens of so-called altnets poured billions of pounds into fibre networks over the past decade. Aberdeen's statement on market headwinds. - "Airband has faced significant headwinds consistent with those affecting the wider UK fibre market, including higher build costs, slower customer growth, increased competition, and a challenging financing environment," an Aberdeen spokesperson said. Portfolio performance and investor outlook. - Aberdeen added that Airband was one investment within a diversified portfolio that had otherwise performed strongly and was still expected to deliver positive overall returns to fund investors. ($1 = 0.7361 pounds) (Reporting by Iain Withers in London and Ankita Bora in Bengaluru; additional reporting by Krisha Bhatt; Editing by Jonathan Ananda) Key takeaways. * Aberdeen's infrastructure fund faces a significant loss amid Airband's administration and asset sale to Voneus - a deal reported to be in the low millions £, raising concerns over weak valuations in the altnet sector (breakingviews.com). * The failure of Airband illustrates mounting challenges across the UK alternative broadband sector, including high financing costs, low customer take-up, and underperforming business models - pressuring many altnets toward consolidation or collapse (breakingviews.com). * Despite this setback, Aberdeen emphasizes that Airband was a small part of a diversified portfolio, with remaining investments performing well and expected to provide positive overall returns (aberdeenplc.com). References. Frequently asked questions. Why is Aberdeen facing a $271 million hit? Who acquired Airband's assets after its collapse? Which banks are affected by Airband's collapse? What caused Airband to collapse? Is Aberdeen's overall fund performance still positive?

Airband appoints Nick Pike as Interim Independent Director. Reading time: < 1 minute Airband has appointed Nick Pike as an Interim Independent Director to its Board. Nick brings more than 35 years' experience advising boards on corporate governance and complex strategic transactions. His appointment strengthens the Board by providing additional independent oversight and governance during the company's ongoing formal sale process. The appointment does not change the day-to-day management of the business. Airband continues to trade and operate as normal, with its Executive Leadership Team responsible for the day-to-day running of the company. Jarlath Finnegan, said: "Airband Community Internet Ltd. is pleased to welcome Nick to the Board. His extensive experience will provide valuable independent support and governance as Airband Community Internet Ltd. progress the formal sale process. Its priorities remain unchanged. Airband Community Internet Ltd. continue to focus on supporting its customers, maintaining its network and delivering for the communities Airband Community Internet Ltd. serve."