(Ecofin Agency) - South African broadband connectivity provider MetroFibre wants to expand its footprint in the country to meet accelerating demand. In that regard, it opened 25% of its capital to investors. 

African Infrastructure Investment Managers (AIIM) recently completed the acquisition of an additional 25.8% stake in South African broadband connectivity provider MetroFibre Networx. This transaction makes AIIM the majority shareholder in MetroFibre with 37% of the overall stake. In the release announcing the completion, AIIM informs that the additional stake was acquired “alongside a consortium comprising South African Housing & Infrastructure Fund (SAHIF) and STOA, a foreign investment vehicle based in France.” In 2020, the three partners had invested ZAR1.5 billion (US$92.3 million). 

By becoming MetroFibre's majority shareholder, AIIM will provide the company with the capital necessary to achieve its growth ambitions. "MetroFibre has accelerated roll-out to a point where it is now one of the largest South African Fibre-To-The-Home players by homes passed, but there remains a long way to go to address connectivity shortfalls in the country," said Thor Corry, AIIM's investment director. 

The deal, announced in June 2021, was completed after the approval of the Independent Communications Authority of South Africa (ICASA). 

"We continue to pursue innovative approaches to address South Africa’s connectivity shortfalls and are pioneering unique solutions that cater to customers with different needs," added MetroFibre’s CEO, Jan-Jan Bezuidenhout (photo). 

“MetroFibre has accelerated its fiber rollout with over 350,000 homes passed as of April 31, 2022, and we are aiming to pass an additional 500,000 homes by 2025,” he added.  

Isaac K. Kassouwi