Paratus gets funding for infrastructure expansion projects

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Paratus

from ALFRED SHILONGO in Windhoek, Namibia
Namibia Bureau
WINDHOEK, (CAJ News) – PARATUS Group has secured funding of US$31 million to help realise its infrastructure expansion plans in the continent.

The pan-African telco says the capital injection will significantly boost connectivity across key and currently underserved regions and contribute to the group’s goal of doubling revenue within the next five years.

The transaction was facilitated by Cirrus Capital, a 100 percent Namibian-owned, broad-scoped financial services company, which acted as the financial advisor and lead arranger on the transaction for Paratus Group.

The funding – from Emerging Africa Infrastructure Fund (EAIF), a Private Infrastructure Development Group (PIDG) and fund manager, Ninety One – will be used over the next three years to create additional fibre routes connecting Angola, Botswana, Democratic Republic of Congo (DRC), Mozambique, Namibia, South Africa, and Zambia.

The investment will also be used to finance the completion of Paratus first Tier IV data center (DC) in Angola.

Chief Executive Officer of Paratus Group, Schalk Erasmus, said this is a significant sign of their intent to greatly enhance cross border fibre connectivity and facilitate economic development in the region.

“It is good news for African businesses, entrepreneurs, and consumers throughout the continent. It is also a great leap forward on our journey and mission to transform Africa through exceptional digital infrastructure and customer service,” he said.

This is the sixth capital raising Cirrus Capital has done for the Paratus, and the seventh transaction, since 2017.

Capital raisings include equity raisings in Namibia and at Group level, a debt programme on the Namibian Stock Exchange, and now debt at Group level.

“We are proud of our association with this inspiring team, and of the instrumental role that we have played in securing capital for the group,” said Chastin Bassingthwaighte, Corporate Finance Associate at Cirrus Capital.

The collaboration of Ninety One’s Africa Credit Opportunities and EAIF is a progressive partnership designed to deliver high-impact infrastructure projects and the funding will contribute to meeting the growing demand for connectivity and data in Africa.

“Building world class digital infrastructure and facilitating fiber expansion is critical to unlocking the potential across Africa,” commented Investment Specialist at Ninety One, Sine Zulu.

– CAJ News