Chronicle Editor
Oliver Kazunga, Senior Business Reporter
LEADING Pan-African telecommunications group, Liquid Telecom, has surrendered eight percent shareholding investment worth US$180 million to a United Kingdom-based development finance institution, Commonwealth Development Corporation (CDC) Group plc.
In a statement, Liquid Telecom, which is a subsidiary of Econet Global, said the investment will enable it to further expand its fibre footprint and broaden data centres as well as cloud services across Africa.
“Liquid Telecom announces completion and receipt of an investment of US$180 million from CDC Group plc. The investment will enable Liquid Telecom to further expand its fibre footprint and to broaden its data centres and cloud services product portfolio across Africa serving wholesale, enterprise and retail customers,” said the group.
In 2017, Liquid Telecom announced that it had secured a US$700 million bond and loan facility aimed at supporting the group’s existing debt and growth strategy.
The financing package was raised through the group’s subsidiary, Liquid Telecommunications Financing Plc.
Liquid Telecom is majority owned by Mr Strive Masiyiwa’s Econet Global, which successfully arranged the US$700 million bond and term loan financing package.
The funding was meant to enable Liquid Telecom to further expand and enhance its Pan-African fibre network– the largest of its kind in the region – and support its vision for a more connected Africa.
Through organic growth and acquisition, Liquid Telecom has built over 50 000 kilometres of fibre connecting nine countries in the region including Zimbabwe, and presently serves over 113 000 enterprise, carrier and retail customers.
Liquid Telecom serves businesses of all sizes through an extended service offering that includes integrated software, cloud, hosting and connectivity capabilities.
In 2016, the telecommunications giant received unconditional approval from the Independent Communications Authority of South Africa (ICASA) to acquire Neotel to the tune of $435 million.
Neotel is South Africa’s first converged communications network operator.
– @okazunga.
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