Internet Service Provider (ISP), Mawingu, has today announced the acquisition of Habari, an Arusha-based ISP with operations across 7 regions in Tanzania.
Habari has more than 25 years of experience delivering Internet and ICT solutions to rural households and businesses across Tanzania. This acquisition will rapidly accelerate Mawingu’s vision of opening opportunities through enhanced digital connectivity across East Africa in areas that have traditionally not been given priority due to the high capital cost and logistical complexities involved in ensuring a stable, reliable, and affordable service.
Mawingu has raised KSh 1.9 Billion ($15 million) of debt and equity financing to enable this expansion into East Africa.
The Africa Go Green Fund (“AGG”), managed by Cygnum Capital, will provide KSh 1.4 Billion ($11 million) of long-term senior debt. This is supported by an additional KSh 0.5 Billion ($4 million) investment from InfraCo Africa, part of the Private Infrastructure Development Group (PIDG), and from Dutch Entrepreneurial Development Bank FMO. This acquisition will enable the company to replicate its wins in Kenya, into Tanzania and East Africa. The primary objective is to scale Mawingu’s affordable home Internet proposition to underserved communities in East Africa by acquiring and growing ISPs in the target markets.
Mawingu’s Chief Executive Officer, Farouk Ramji says:
“Today marks an incredibly important day for the African telecommunications market. Mawingu has grown from a start-up to an established Kenyan telco player and now through the acquisition of Habari, a Tanzanian ISP, to expand both its footprint and impact in the East Africa region. Mawingu and Habari share the same values, strong financial metrics, and the same dedication to connecting the rural and peri-urban market. This acquisition, along with an additional $15 million of financing, will enable Mawingu to deliver its value proposition of affordable Internet connectivity to homes in Tanzania that has only connected 300,000 out of 14,000,000 homes.”
