CDC Group, a UK development finance institution and impact investor, has pledged US $ 50.9 million to develop digital infrastructure, boost rural connectivity and accelerate access to digital technologies for rural and underserved communities in sub-Saharan Africa.
The facility will consist of an initial investment of USD 40 million for the Digital Infrastructure Fund (CPDIF) managed by Convergence Partners, an Africa-focused ICT fund manager. CDC’s funding will allow CPDIF to invest in the digital infrastructure and overlays needed to improve connectivity and access to ICTs across the continent. It will be followed by a second equity investment of USD 10.9 million in a consortium led by Metier, one of the leading mid-cap fund managers in sub-Saharan Africa. Growth capital will enable the expansion of AMN’s mobile network infrastructure and rural connectivity from the current level of around 2,000 towers in 10 countries to 5,000 towers in more than 15 countries here. 2023.
“We are delighted to support CPDIF and AMN with investments that will support Africa’s digital transformation, connect millions of people across the continent, facilitate access to quality education and health care, improve digital skills and foster financial inclusion, ”said Clarisa De Franco, Managing Director and Head of Private Equity Funds, CDC Group.
Through this commitment, the CDC in the CPDIF and the AMN seeks to maximize its efforts to reduce the connectivity gap in its markets. The company previously unlocked a $ 220 million investment in Liquid Telecom and another $ 12 million in Worldlink.
Funded by the UK government, the company claims investments in more than 1,000 companies in emerging economies and total assets of $ 9.3 billion. In 2020, CDC committed over $ 1.5 billion to businesses in Africa and Asia and aims to invest up to $ 1.75 billion in 2021 – with a focus on inclusive growth, creating jobs and supporting economic recovery after COVID-19.