Liquid Telecom Signs $180-Million Investment Deal With UK’s CDC Group
11 April 2019
Liquid Telecom recently concluded a $180-million investment deal from UK development finance institution CDC Group.
The network operator issued a statement saying that the new investment would enable Liquid Telecom to broaden its fibre footprint further and expand its cloud services and data centres product portfolio throughout Africa serving enterprise, retail and wholesale customers.
The investment into Liquid Telecom was originally announced in December, and it provides the CDC Group with a stake of almost 10% in Liquid Telecom.
The founder of Econet, Strive Masiyiwa had said at the time that this was a capital-intensive business. He had added that the plan was to find a longer-term partner to invest in the expansion into countries that don’t always provide a quick return on investment.
The deal is set to allow Liquid Telecom to postpone its original public offering.
Liquid Telecom Group is part of Masiyiwa’s global business portfolio, which he built when he left Zimbabwe 19 years ago.
According to Masiyiwa, an IPO is still a possibility in the near future.
He said that the listing option would always be there and Liquid Telecom would do whatever its shareholders feel is good for business.
Econet Wireless Zimbabwe recently became a 10% shareholder in the Liquid Telecom Group by swapping its then 51% shares in Liquid Telecom Zimbabwe.