NuRAN Wireless Inc. Secures a US $5M Loan to Expand Network Infrastructure in Africa
April 26, 2024, QUEBEC, QC – NuRAN Wireless Inc. (“NuRAN”), a pioneer in delivering mobile and broadband wireless infrastructure solutions, proudly announces a significant step forward in its finance strategy with the acquisition of a two-year term loan facility in the principal amount of US $5M. This strategic move comes following a partnership with the Facility for Energy Inclusion (“FEI”), managed by Cygnum Capital, and comes as a result of the final Investment Committee approval.
The arrangement, facilitated through NuRAN Wireless (Africa) Holding, a fully owned subsidiary, aims to support the construction of renewable energy assets vital for mobile network infrastructure. This initiative is primarily focused on enhancing the Network as a Service (“NaaS”) agreements in Cameroon and the Democratic Republic of Congo (DRC), thereby expediting the establishment of NaaS sites.
This senior secured loan facility is designed to facilitate the deployment of over 500 new sites across Africa. Leveraging the proceeds, alongside cash flows from operating sites, NuRAN plans to cover all substantial material and construction costs associated with the new sites. The loan drawdowns are set against a backdrop of stringent conditions, ensuring the funded sites are operational and contributing positively to the company’s growth.
Francis Letourneau, CEO of NuRAN Wireless Inc., expresses gratitude towards both Cygnum Capital and FEI for supporting their mission to connect the unconnected in Africa. He believes this funding is a critical milestone in executing the company’s construction plan for 2024 and achieving significant progress by the year-end. Carmen de Castro, Managing Director and Fund Lead at Cygnum Capital, also highlighted the importance of this facility in fostering the energy transition in the telecommunications industry across Africa, where renewable energy plays a pivotal role in delivering fundamental services to underserved populations.
About Cygnum Capital
Cygnum Capital Group stands at the forefront of investment banking and asset management across emergent and frontier markets. With assets under management totaling over $835 million, Cygnum Capital oversees five innovative funds, each catering to a specific sector ranging from local currency capital markets to climate-smart investments across 27 African countries.
About the Facility for Energy Inclusion
The FEI is a strategic initiative designed to bolster small-scale independent power producers focusing on grid delivery, mini-grids, and commercial power projects. Its establishment by the African Development Bank (AfDB) marks a significant step towards Africa’s New Deal for Energy initiative, aiming to mobilize equity funding and loan commitments from globally recognized institutions to support sustainable energy projects across the continent.
About NuRAN Wireless
NuRAN Wireless is revolutionizing rural telecommunications, bridging the digital divide by providing affordable, scalable solutions across 2G, 3G, and 4G technologies. Its mission is to enhance connectivity for over one billion people globally, enabling efficient, affordable long-distance communication—one connection at a time.
Forward-Looking Statements
This press release contains forward-looking statements regarding the loan facility’s impact on NuRAN’s future operations and growth. These statements are based on current expectations and entail various risks and uncertainties that could cause actual results to differ materially. Factors such as the ongoing COVID-19 pandemic, operational restructuring, funding requirements, and the global supply chain impact are pivotal in determining the company’s ability to fulfill its objectives. NuRAN is committed to navigating these challenges, ensuring compliance with local laws, and maximizing the operational efficiency and success of its expansion efforts.
As NuRAN Wireless Inc. moves forward with its ambitious plans for 2024 and beyond, the secured loan facility from FEI opens new horizons for sustainable development and connectivity in Africa’s remote and rural landscapes.
