17 July 2024
NuRAN Wireless has closed a US$5 million loan facility with the Facility for Energy Inclusion (FEI), a fund managed by Cygnum Capital.
The initial drawdown of US$2.5 million, which includes a US$1.07 million refinancing of renewable energy assets in Cameroon, is underway.
On 26 April, FEI and NuRAN Wireless (Africa) Holding (NuRAN Africa), a wholly owned subsidiary of the company, signed a bridge facility to finance the construction of renewable energy assets for mobile network infrastructure to serve existing and new Network as a Service (NaaS) agreements, accelerating the construction of NaaS sites primarily in Cameroon and Democratic Republic of the Congo (DRC).
This financing will enable NuRAN to complete 122 sites from an initial contract and build up to 120 new sites in Cameroon. NuRAN also plans to expand into the Democratic Republic of the Congo (DRC), Ivory Coast, and South Sudan, with further funding expected to complete over 100 sites in the DRC and initiate operations in the other two countries by the end of 2024.
"We are pleased to have successfully completed this important financing, allowing the company to focus on building more sites in Africa with the aim of demonstrating the effectiveness and profitability of these rural and remote sites. As we continue to add live sites to our inventory, we believe that our business model will not only prove to be successful but will demonstrate the value of the more than 5,000 sites that we already have under contract," said NuRAN Wireless in a statement.
In conjunction with this facility, NuRAN has restructured its outstanding debentures and a factoring agreement with Advance Factoring, extending the maturity date of the convertible debentures to 31 December 2025, increasing the principal to US$2.53 million, and setting a 24% interest rate.
NuRAN Wireless says it aims to bridge the digital divide by providing affordable and scalable 2G, 3G, and 4G technology solutions to remote and rural areas worldwide.
