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Africa Data Centres Secures R2-Billion Funding to Expand Capacity in South Africa

Africa Data Centres, a subsidiary of Cassava Technologies, has successfully secured R2-billion in funding arranged by Rand Merchant Bank (RMB). This significant financial boost aims to expand the data centre operator's capacity, addressing the surging demand for cloud computing services in South Africa, according to a company statement. RMB facilitated a bespoke financing solution tailored

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Africa Data Centres, a subsidiary of Cassava Technologies, has successfully secured R2-billion in funding arranged by Rand Merchant Bank (RMB). This significant financial boost aims to expand the data centre operator’s capacity, addressing the surging demand for cloud computing services in South Africa, according to a company statement.

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RMB facilitated a bespoke financing solution tailored for Africa Data Centres. Hardy Pemhiwa, CEO of Cassava Technologies, hailed this achievement as a “significant milestone” for the company, highlighting its commitment to growth and confidence in the future of the South African data centre market.

“We see this funding as part of RMB’s mandate of financing the development of a sustainable digital economy in South Africa,” stated Nana Phiri, head of the corporate client group at RMB.

The R2-billion facility will be used to construct an additional 20MW of data centre capacity, enhancing the company’s network of data centres across Southern, East, and West Africa. RMB acted as the coordinator, initial mandated lead arranger, and bookrunner for this financing arrangement.

This expansion is poised to bolster Africa Data Centres’ infrastructure, positioning it to better serve the growing cloud computing needs in the region.

Main Image: Communications Africa

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Greg Stewart

Reporting for Business Tech Africa on the funding, tools and strategy shaping the continent's founders and SMEs.

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