Irish carrier Viatel on Tuesday announced plans to spend €125 million on expanding its network coverage and said it is on the hunt for potential acquisitions.

Viatel's long-distance fibre network connects eight countries: Belgium, France, Germany, Ireland, Italy, the Netherlands, Switzerland and the U.K. It has 100 PoPs in 35 cities, and connects 150 data centres. It also operates metro networks in Amsterdam, Dublin, Düsseldorf, Frankfurt, London and Paris.

Viatel provides telco services to large enterprises, public sector organisations, as well as wholesale and carrier customers.

"This investment will now enable us to enhance our services and to extend our reach further and deeper within Europe, and to connect new locations in the U.S.A., Canada, the Middle East and Asia," said Colm Piercy, CEO of Viatel, in a statement.

The investment has been made possible by Viatel's new partner, Swedish investment firm Proventus Capital Partners.

"Our new partnership with Proventus will enable Viatel to greatly accelerate our growth and to transform the European telecommunications sector," Piercy declared.

In addition to expanding its network, Viatel said the investment will also create new jobs. It is also eyeing potential acquisitions that will strengthen its product portfolio and pricing power.