Zayo Group, a provider of fiber bandwidth and networking services, announced it has raised $315 million in a five-year term loan. This means the money can’t be borrowed again after it has been repaid in five years’ time.

RBC Capital Markets, Barclays Capital and SunTrust provided the massive loan, which has been covered by its 25 institutional investors. The original amount agreed upon was  $295 million, but “strong demand” reportedly resulted in the $20 million increase.

“Zayo welcomes our new investors, as well as current investors who have made a further commitment to supporting our business,” states Ken desGarennes, CFO of Zayo Group. “We are pleased with the response we received to this debt offering and the continued ability to access capital in support of our business growth.”

The new loan will be used to finance the bulk of the multi-million dolloar agreement to acquire 360networks, a facilities-based wholesale telco service provider. The company, spun off from Ledcor Industries  in 1998, has a network that spans almost 20,000 miles to a number of key U.S markets. That is the main reason Zayo acquired the firm, and follows the announcement made just a week ago revealing  new plans for expansion.

Late last month Zayo said that it’s extending its converge of more than 150 markets for wholesale bandwidth and enterprise networking services to include San Diego. Before San Diego, Zayo extended its network towards Los Angeles.

The fact the company has been speedily growing its network recently may be considered as a part of a demand-driven trend based on some related recent developments from the consumer space. Verizon invested $3.6 billion in the acquisition of 122 wireless service licenses from  Comcast, Time Warner Cable and Bright House  this month, following similar expansion by competitor Sprint.