Cassava Technologies, a leading African tech company, has successfully raised $310 million through a combination of equity and debt. This funding round will support the company’s ambitious expansion across the continent, including its subsidiaries like Africa Data Centres and Liquid Intelligent Technologies. The investment will further enhance Cassava’s ability to bridge the digital divide in Africa and expand its digital infrastructure and services.
Key Investors Include Google, Finnfund, and US International Development Finance Corporation
Among the notable investors in this funding round are the US International Development Finance Corporation (DFC), Finnfund from Finland, and Google. DFC contributed $90 million, marking a significant boost to Cassava’s plans to expand its digital infrastructure. Google’s participation in the round emphasizes its ongoing interest in supporting Africa’s digital transformation and strengthening cloud-based services on the continent.
This equity investment also marks an important step for the company in ensuring sustainable development, with a focus on building both physical infrastructure and software solutions to empower African businesses and consumers.
Liquid Intelligent Technologies Secures $220 Million Debt Refinancing
In addition to the equity round, Cassava Technologies’ subsidiary Liquid Intelligent Technologies, a major African fiber network operator, has secured $220 million in debt refinancing. This refinancing deal was backed by key financial institutions, including Standard Bank, Rand Merchant Bank, Nedbank, and the International Finance Corporation (IFC), part of the World Bank.
The funds from this deal will be crucial for expanding the fiber network that connects various African nations, improving internet connectivity and facilitating the delivery of cloud services, edge computing, and other critical digital services across the region.
Africa Data Centres: Expanding Across the Continent
Cassava’s subsidiary Africa Data Centres plays a central role in the company’s growth. With facilities already operating in Nairobi (Kenya), Lagos (Nigeria), and three locations in South Africa, Africa Data Centres is a key player in providing the continent with high-quality data storage and computing infrastructure.
The company has ambitious expansion plans, with new data centers set to open in Kigali, Rwanda, Lome, Togo, and a 30MW facility in Accra, Ghana. In South Africa, another data center is currently under construction, which will further strengthen Africa Data Centres’ footprint and ability to support growing demand for cloud services.
Vision for Digital Transformation in Africa
Cassava Technologies is not just focused on building data centers and fiber networks but is also heavily invested in digital services that can transform African industries. These services include cloud solutions through Liquid C2, renewable energy via Distributed Power Africa, and innovative fintech solutions through Sasai. Additionally, the company is exploring artificial intelligence through its Cassava AI arm, which will provide cutting-edge technologies tailored to local markets.
The diverse portfolio of companies under Cassava’s umbrella shows the company’s commitment to meeting the continent’s growing demand for digital infrastructure, cloud computing, and clean energy solutions.
Cassava Technologies’ Strategy to Bridge the Digital Divide
Cassava’s expansion efforts are designed to address Africa’s vast digital infrastructure gap. With the increased adoption of cloud computing and digital services, the continent has seen a surge in demand for reliable, secure, and scalable data centers. By securing this $310 million investment, Cassava is positioning itself as a leading player in the race to close this gap.
As Hardy Pemhiwa, Group CEO of Cassava Technologies, stated:
“The closing of this equity round, completion of our ZAR debt refinancing, and reorganization represent more than just capital – it’s a pivotal milestone that we expect to unlock immense value and catalyze the further expansion of our digital infrastructure and services to bridge the digital divide on the continent.”
Leadership and Vision: Strive Masiyiwa’s Influence
Cassava Technologies was founded by Strive Masiyiwa, a renowned Zimbabwean billionaire and philanthropist. Masiyiwa’s vision for technology and infrastructure in Africa has been instrumental in shaping Cassava’s strategies. Under his leadership, Cassava has become a key player in driving innovation and investment in the continent’s tech ecosystem, providing both the physical and digital infrastructure necessary to meet the needs of a rapidly growing population.
The Future of Africa’s Digital Landscape
With the continued growth of cloud computing, e-commerce, and digital services across Africa, the demand for reliable and scalable data centers will only increase. Cassava Technologies, with its strong focus on innovation and expansion, is well-positioned to meet this demand and continue to lead in the development of Africa’s digital infrastructure.
The support from global investors like Google, DFC, and Finnfund will accelerate Cassava’s plans, allowing the company to scale up its services and offerings across Africa. This will help close the digital divide and bring more businesses and consumers into the digital economy.
Frequently Asked Questions (FAQs)
1. What is Cassava Technologies and what does it do?
Cassava Technologies is a prominent African tech company focused on providing digital infrastructure and services across the continent. It operates subsidiaries like Africa Data Centres, Liquid Intelligent Technologies, and others, offering services such as data storage, cloud computing, fiber networks, and renewable energy solutions.
2. How much funding did Cassava Technologies raise?
Cassava Technologies raised $310 million in funding, which includes $90 million from equity investors such as the US International Development Finance Corporation (DFC), Finnfund, and Google, and $220 million in debt refinancing for Liquid Intelligent Technologies.
3. Which regions are served by Cassava Technologies’ subsidiaries?
Cassava Technologies operates across various African countries, with data centers in Kenya, Nigeria, South Africa, and plans to expand into Rwanda, Togo, and Ghana. Additionally, the company’s fiber networks and cloud services cover several other African nations.
4. What role does Strive Masiyiwa play in Cassava Technologies?
Strive Masiyiwa is the founder and chairman of Cassava Technologies. His vision and leadership have been pivotal in shaping the company’s strategy and growth, particularly in driving digital transformation and improving access to technology across Africa.
5. How will the investment impact Africa’s digital infrastructure?
The investment will help expand Cassava Technologies’ digital infrastructure, including the construction of new data centers, expansion of fiber networks, and enhancement of cloud and AI-based services. This is expected to boost digital connectivity and reduce the digital divide in Africa.
