Fiber to the Future: Power Sustainable’s CAD$110M Gamble on telMAX’s High-Speed Vision

In a move that underscores the growing momentum behind sustainable digital infrastructure, Power Sustainable Infrastructure Credit (PSIC) has closed a CAD $110 million senior secured term loan for Ontario-based fiber broadband provider telMAX. The funding will fuel telMAX’s expansion of its 100% fiber-optic network across the Greater Toronto Area (GTA), positioning the company as a leader in high-speed internet while aligning with PSIC’s mission to blend financial returns with environmental and social impact.

The Loan’s Strategic Play: Speed, Sustainability, and Community

The loan, finalized in May 2025, is tailored to accelerate telMAX’s rollout of multi-gigabit broadband—a service that has already earned it the title of Canada’s fastest internet provider by PC Magazine for three consecutive years. The focus on the GTA, one of North America’s most densely populated regions, addresses a critical gap in connectivity while prioritizing energy-efficient fiber technology, which PSIC calls the “most sustainable method for internet delivery.”

The partnership also emphasizes community-centric growth: telMAX employs local staff and partners with regional development initiatives, ensuring its expansion benefits the very areas it serves. As CEO Michael Strople noted, the loan validates telMAX’s model of “customer-centric service and disciplined construction,” which has already connected communities like Brooklin and Newmarket.

Why This Deal Matters: Sectoral Shifts and Sustainability

The CAD $110 million financing is more than a single transaction—it’s a bellwether for two key trends reshaping the telecom sector:
1. The Rise of Fiber as a Green Infrastructure Staple
PSIC, a CAD $1.0 billion credit platform launched in 2023, views fiber networks as foundational to decarbonizing the telecom industry. Unlike traditional copper or wireless infrastructure, fiber’s energy efficiency reduces emissions per bit of data transmitted. .

1. Investor Focus on Digital Equity
   By targeting underserved GTA communities, telMAX’s expansion tackles Canada’s digital divide, a priority for regulators and investors alike. The loan aligns with PSIC’s broader strategy to fund projects that bridge equity gaps while generating returns. As a subsidiary of Power Corporation of Canada—a firm managing CAD $4.0 billion in sustainable assets—PSIC’s commitment to this sector is clear.

The Numbers Behind the Narrative

• telMAX’s Reach: Already serves over 16,000 premises (though this figure pertains to a separate transaction) and 4,000+ subscribers, with plans to expand aggressively.
• PSIC’s Momentum: This is its sixth North American deal since 2023, signaling confidence in digital infrastructure’s growth potential.
• Market Demand: The Canadian broadband market is projected to grow at a 6.5% CAGR through 2030, driven by rural-urban connectivity gaps and rising data consumption.

.

Risks and Rewards: What Could Go Wrong?

While the deal is strategically sound, challenges loom. Telecom infrastructure projects face regulatory hurdles, cost overruns, and competition from giants like Rogers Communications (RCI:TSX) and Bell Canada (BCE:TSX). .

telMAX’s reliance on community partnerships could also slow expansion, though its track record—ranking among Canada’s fastest providers—suggests strong execution.

Conclusion: A Bold Bet on the Future of Connectivity

Power Sustainable’s CAD $110 million loan to telMAX is a masterclass in impact investing, marrying high-speed tech with sustainable and equitable outcomes. By prioritizing fiber’s energy efficiency and community-driven growth, telMAX is not just building networks—it’s redefining what it means to be a telecom leader.

For PSIC, the deal reinforces its position as a key player in North America’s sustainable infrastructure boom, with CAD $1.0 billion in commitments already deployed. As Canada’s digital economy evolves, this partnership sets a template: investments that move fast, think green, and leave no one offline.

With multi-gigabit speeds now a competitive necessity and PSIC’s balance sheet backing them, telMAX’s vision could soon become the standard—not just in the GTA, but across Canada’s connected future.