MetroFibre secures R5-billion debt deal with Standard Bank
Fibre telecommunications network operator MetroFibre Networx is continuing its aggressive fundraising drive: the company has now secured a R5-billion debt financing package from Standard Bank Group.
The financing will be used to expand MetroFibre’s fibre infrastructure into homes and businesses in underserviced communities across South Africa and will contribute to increasing MetroFibre’s reach by half a million households.
Launched in 2010, the company claims it ranks among the top three fibre network operators in South Africa with its open-access network passing more than 350 000 homes in six provinces.
It aims to reach an additional 500 000 residential homes across the country by 2025.
In March 2021, MetroFibre raised R2.5-billion in debt financing, led by Investec, adding to the R1.5-billion funding round led by Old Mutual Alternative Investments’ African Infrastructure Investment Managers (AIIM) months earlier.
In March 2022, African Rainbow Capital (ARC) Investments said it planned to offload its remaining stake in MetroFibre. ARC Investments, which is also a 20.2% shareholder in telecoms operator Rain, held 8.7% of MetroFibre. MetroFibre confirmed that the sale of shares took place two months ago. It did not disclose the buyer.