• Wednesday, April 24, 2024
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Chapel Hill Denham’s fund to finance Tizeti’s nationwide expansion

Chapel Hill Denham’s fund to finance Tizeti’s nationwide expansion

Tizeti Network Limited, a West African internet service provider, has secured a long-term financing agreement from Chapel Hill Denham’s Nigerian Infrastructure Debt Fund (NIDF).

The undisclosed financing will be deployed in the expansion of Tizeti’s broadband network across 15 states in Nigeria.

Read also: Chapel Hill Denham to list N200bn infrastructure fund on NGX

Anshid Kai, chief executive officer of NIDF, said the goal is to support the rollout of affordable internet services which is a key pillar for Nigeria to accelerate its economic and social development.

“We continue to work with all stakeholders to support accelerated development of digital infrastructure in Nigeria to provide access to long-term naira–denominated financing for such projects – thus realising the government’s vision of reaching 70 percent broadband penetration by 2025,” Kai said.

Kendal Ananyi, founder and CEO of Tizeti, said the company sees an opportunity for domestic capital in addressing digital exclusion barriers in Nigeria.

“We will use this to build last-mile digital infrastructure that will move internet capacity to other Nigerian states and catalyze sustained development, value creation, improved connectivity, and a deeper and wider digital inclusion net. This will also increase our coverage from 5 states and make us the largest internet service provider in Nigeria by coverage,” Ananyi said. .

Tizeti currently serves over 3 million subscribers in Nigeria (residential facilities, businesses and hotspot users), via its wide network of solar-powered base stations in five states. The Company will deploy the debt funding to build new internet infrastructure and purchase additional equipment to expand its services to Delta, Akwa Ibom, Cross River, Abia, Anambra, Imo, Enugu, Abuja, Kano, and Kaduna. Tizeti currently charges its customers a monthly fee starting from N12,500 which is the most competitive price in Nigeria and provides unlimited data usage and streaming.

Read also: Chapel Hill Denham named best investment bank in Nigeria at Euromoney Awards

For many countries in Africa, there is still a huge digital divide. This boundary between connected and unconnected translates into clear consequences for employment, education, family and social life, and access to information. More so, the World Bank reports that every 10% increase in broadband penetration could lead to as much as 2.8% growth in Gross Domestic Product. Partnerships such as this, therefore, play a significant role in addressing the digital infrastructure deficits in emerging economies, leveraging innovative technology and capabilities, to improve development outcomes for millions of people.