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Nimbus acquires stake in Paratus for N$95 million

Home Business Nimbus acquires stake in Paratus for N$95 million

Staff Reporter

Windhoek-Capital pool company, Nimbus, has acquired a 26.5 percent stake in Paratus Africa, at a cost of N$95 million. The acquisition is in Paratus’ Namibian operations. Nimbus acquired eight percent of the issued share capital in Paratus for a cash payment of N$20 million and the balance of N$75 million in shares.

Nimbus is the first capital pool company to list on the Namibian bourse in September last year. A capital pool company is a capital raising structure that is relatively commonly utilised in North America and more recently, South Africa, which allows for capital raising and co-investment by various institutional and individual investors in order to seek and develop potential investments.

Paratus Africa is the fastest growing and also the largest privately owned Pan African telecoms operator. It already delivers products and services to 22 African countries and has fully licenced and operational offices in Namibia, Angola, Botswana, Mozambique, Zambia and South Africa.

The two entities say in a statement the transaction “allows huge potential growth for both Namibian entities to grow beyond Namibia’s border.”

“We plan to invest a total of more than N$150 million on infrastructure in Namibia over the next three years of which N$100 million will be invested in fibre infrastructure,” said Paratus CEO, Barney Harmse. He says the partnership with Nimbus as an equity partner would broadening the capital base of Paratus and would enable its aggressive expansion plans and infrastructure rollout.

Nimbus CEO Schalk Erasmus says with the Nimbus listing on the Namibian Stock Exchange, the company deepened the Namibian capital markets. “This will allow the Namibian savings pool to diversify its exposure into the internet, communication and technology space, a sector which to date has not yet been on the NSX,” says Erasmus.
“Nimbus intends to raise further capital in the Namibian markets to leverage off ICT opportunities in Sub-Sahara Africa,” he said.

Nimbus Infrastructure is a Capital Pool Company jointly managed by Paratus and Cirrus Capital with the objective of pursuing investments in the Information Communication and Technology Sector in sub-Saharan Africa.

Paratus is the largest privately owned Pan African telecoms operator with its head office in Windhoek. The company was founded as Internet Technologies Group (ITG) Namibia in 2005, the first privately and 100% wholly owned Namibian telecommunications operator.

Paratus has, as of 2017, a turnover of N$1 billion and a total budget for Africa over the next five years set at US$110 million (nearly N$1,5 billion).

Paratus has fully licenced offices in Angola, Namibia, Botswana, Mozambique, Zambia and South Africa and delivers products and services to 22 African countries.

Since inception, Paratus has established a prolific network extending the entire Namibia, with additional international points-of-presence located in Johannesburg, Lisbon as well as London. This network is commensurate of its ability to provide exceptional customer service at all times.

On March 20, 2012, Paratus was issued with a Class Comprehensive Telecommunications Service License (ECS & ECNS), following further expansion of its 4G network, national and international network to provide telecommunications services to the Namibian public at large as well as the private and corporate sector.