PomeGran Awarded $172 Million FTTH Project to Provide Gigabit Broadband
Connectivity to Rural and Indigenous Communities in Northern Ontario

Project includes $97 million in government funding and additional investments from PomeGran through financing partnerships with the Canada Infrastructure Bank and Stonebridge Financial Corporation.

 Toronto, Ontario (June 24, 2024) — PomeGran Inc. (PomeGran), Canada’s fastest growing fibre-centric rural broadband provider, through its subsidiary ROCK Networks, has received $97 million in federal and provincial government funding to build new fibre broadband infrastructure in rural and Indigenous communiLes in Northern Ontario. The Honourable Gudie Hutchings, Canada’s Minister of Rural Economic Development and Minister responsible for the AtlanLc Canada OpportuniLes Agency, together with Amarjot Sandhu, Parliamentary Assistant to the Minister of Infrastructure and Member of the Standing CommiUee on Government Agencies and the Standing CommiUee on Procedure and House Affairs, for the Government of Ontario, announced the investment today.

Building on this support, PomeGran is set to embark on a significant new project to construct and operate an end-to-end fibre network that will deliver speeds up to 25 Gbps to 18,663 underserved households, including 2,580 Indigenous households in the Huron Shore and Manitoulin Island region. This groundbreaking iniLaLve will provide much-needed connecLvity to areas along Hwy 17 from Lively to Garden River, including Elliot Lake, St. Joseph, and Manitoulin Island. The network will provide connecLvity to residents over a 50,000 sq. km geography.

Through their engagement with the not-for-profit H&M COFI organizaLon, PomeGran has connected with various communiLes, ensuring their needs and voices were considered. This project aims to provide high- speed broadband Internet to homes, businesses, and insLtuLons in the Huron Shore and Manitoulin Island region. Their vision is to enhance global access and influence in the region, with fibre-based technology, transforming the digital landscape of the area.

PomeGran will own and operate the network. The open access framework will aUempt to foster a compeLLve market, enabling numerous ISPs to offer diverse services to consumers, at compeLLve prices.

To future-proof the network, PomeGran is deploying XGS-PON and 25G PON to provide mulL-gigabit broadband to residences and businesses. In addiLon, PomeGran’s patent pending advanced fibre technology and outdoor passive fibre infrastructure will ensure lightning-fast connecLvity and the ability to scale to speeds and reliability not previously available to rural and Indigenous communiLes.

“Receiving this investment is a significant milestone for PomeGran. It underscores our dedicaLon to bridging the digital divide and ensuring equitable access to high-speed Internet in rural and Indigenous communiLes,” said Dr. Kalai S. Kalaichelvan, Chairman & CEO of PomeGran. “This funding will not only connect households but also lay the groundwork for a more connected and prosperous future for all residents.”

“PomeGran is excited to receive this investment, a testament to our shared commitment with the Governments of Canada and Ontario to bring high-speed Internet to rural and Indigenous communiLes in Northern Ontario,” said Joe Hickey, President of PomeGran. “This strategic investment signifies a crucial step towards achieving Canada’s naLonwide connecLvity targets, and with our commitment to an open access network, it will help foster compeLLon in the market, making high-speed Internet more affordable in the region.”

“This infusion of government funding marks a pivotal moment for connecLvity in Huron Shore and Manitoulin Island. More households gaining access to high-speed Internet means many benefits for our communiLes. It means enhanced opportuniLes for online educaLon, access to virtual healthcare, and increased producLvity for local businesses,” said Georges Bilodeau, Chairperson of H&M COFI. “This is not just about connecLng households; it’s also about forLfying the foundaLon of our communiLes for a brighter and more interconnected future.”

“We are enthusiasLc about partnering on this high-speed Internet project, which will significantly enhance connecLvity and economic opportuniLes within our community. Our collaboraLon on the network and construcLon efforts is a testament to our commitment to sustainable development. Reliable Internet access will empower our community by providing beUer opportuniLes for educaLon, healthcare, and local businesses,” said Ogimaa Kwe Rachel Manitowabi, of Wiikwemkoong Unceded Territory.

“High-speed Internet is no longer considered just a luxury. The federal funding commiUed today will bring reliable high-speed Internet to more than 18,600 underserved homes in communiLes across Northern Ontario. CommuniLes large and small need to have a reliable connecLon so they can grow their potenLal in this digital world,” said The Honourable Gudie Hutchings, Minister of Rural Economic Development and Minister responsible for the AtlanLc Canada OpportuniLes Agency.

The funding comes from the Universal Broadband Fund (UBF), by the Government of Canada and Ontario’s Improving ConnecLvity for Ontario (ICON) program. The UBF, a $3.225 billion investment by the Government of Canada, is designed to help connect 98% of Canadians to high-speed Internet by 2026 and achieve the naLonal target of 100% connecLvity by 2030. This iniLaLve is supported by InnovaLon, Science and Economic Development Canada (ISED), which plays a crucial role in fostering innovaLon and connecLvity across the country. Through the ICON and other programs, the Ontario government has commiUed $4 billion to expand and improve broadband and cellular access across the province. This investment is part of a broader effort to enhance digital infrastructure and ensure that more Ontarians, especially those in rural and underserved areas, have reliable Internet connecLvity.

AddiLonally, to complete the project, PomeGran is invesLng $75 million through financing partnerships with the Canada Infrastructure Bank (CIB) and Stonebridge Financial CorporaLon. This joint iniLaLve by PomeGran, a private Canadian investment firm, and the federal and provincial Governments aligns with the strategic prioriLes of the Ministry of InnovaLon, Science and Industry to enhance digital infrastructure and promote economic development through improved connecLvity.

About PomeGran Inc.

PomeGran Inc. is Canada’s fastest growing fibre-centric broadband infrastructure provider. Dedicated to enhancing broadband services, PomeGran has emerged as a leader on a mission to empower underserved markets in Quebec and Ontario. PomeGran is invesLng in rural Quebec and Northern Ontario as part of their strategic plan. BoasLng ownership of broadband networks, underground and aerial fibre assets, and fixed wireless access (FWA) assets, PomeGran is commiUed to bridging the digital divide that exists between urban, rural, and Indigenous communiLes. Founded on the fundamental principle of ensuring equitable access to high-speed Internet, PomeGran believes that everyone deserves the opportunity to parLcipate in today’s digital-first economy. Please visit www.pomegran.com.

Contacts

For media inquiries: media@pomegran.com