KBRA assigns preliminary ratings to the Series 2025-1 Class A-1-L Notes, Class A-2 Notes, Class B Notes, and Class C Notes (the Series 2025-1 Notes) from Zayo Issuer, LLC (the Issuer), a communications infrastructure securitization.

Zayo 2025-1 represents Zayo Issuer, LLC’s (the Issuer) first securitization. The transaction structure is a master trust, and as such, the indenture permits the issuance of additional classes and series of notes subject to certain conditions, including rating agency confirmation. The proceeds from the sale of the Notes will primarily be used to fund certain reserve accounts including the liquidity reserve account, transaction fees, and for general corporate purposes, which may include capital expenditures.

The business of the asset entities in the transaction includes an extensive long-haul and dense metro fiber network to provide long-haul, middle mile-, and last-mile services to commercial customers; what the parent company, Zayo Group, LLC (Zayo or the Company), characterizes as “big pipes to big customers.” Zayo Northeast, LLC, a wholly owned subsidiary of the Issuer, provides services in two main segments in the northeastern region of the United States. First, there is the dark and lit fiber infrastructure and transport services business, including long-haul and metro dark fiber, wavelengths, private networks and mobile infrastructure. Second, the aforementioned entity provides lit fiber network connectivity services, including but not limited to dedicated internet access, Ethernet, IP transit and private cloud connectivity to “connectivity customers.” The fiber services consist of, among other things, commercial fiber infrastructure products that enable high speed data traffic between business locations, data centers, cloud provider networks, and the global internet, as well as backhaul from wireless towers that connect such sites to the wider wireless carriers' terrestrial network.

As of October 31, 2024 (the Cut-off Date), the Issuer provides services within the securitized portfolio to 1,686 customers among over 15 product service lines in the northeast U.S. Within the portfolio, fiber and transport, and network connectivity represented approximately 75.5% and 24.5% of revenues, respectively, as of the Cut-off Date.

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Methodologies

• ABS: Communications Infrastructure Securitization (CIS) Global Rating Methodology
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1007700

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