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Paratus raises N$600m for expansion

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Paratus raises N$600m for expansion

Paratus Namibia Holdings Limited successfully raised over N$600 million through a recent rights issue and investment drive, which was fully-subscribed.

This significant capital infusion has effectively doubled the company’s market capital on the Namibia Stock Exchange (NSX). The raised capital has been sourced from a diverse group of investors, including the Paratus Group (61.9%), institutional investors (34%), Paratus employees (2.6%) and retail investors (1.5%).

According to a company statement, the funds will be strategically allocated to expand Paratus Namibia’s existing offerings by enhancing its core systems and infrastructure.

“This investment will enable the company to adapt and transform its business model to meet the evolving demands of customers and the market while optimising capacity utilisation, leveraging economies of scale and generating increased returns from its current asset base,” the statement reads. Paratus Namibia has three strategic focus areas, namely leadership in connectivity; differentiation and long-term diversification; as well as optimised efficiencies.

The company stated that it aims to be the leader in high-quality connectivity by investing in fibre and mobile LTE technologies.

The company’s goal is to be the enterprise digital partner of choice, thereby enabling businesses to leverage digital solutions to elevate their operations.

The statement added that Paratus Namibia will prioritise delivering a world-class customer experience through seamless onboarding, proactive issue resolution, as well as personalised offerings, driven by big data, machine learning and artificial intelligence.

The company also plans to optimise its efficiencies through infrastructure-sharing, adopting cutting-edge technologies in its network, as well as developing business enablement and operational support systems.

By fostering an agile digital organisational culture and optimising the management of key resources, including staff and infrastructure, Paratus Namibia aims to reinforce its brand as “aspirational, successful and enabling”. Schalk Erasmus, CEO of the Paratus Group, said he is excited about this latest development.

“This investment is a significant milestone for Paratus Namibia, the region and our valued customers. With this capital, and by leveraging our existing infrastructure, we will establish an unparalleled technological advantage in the market. As a digital partner to our customers, we will help them take their businesses to new heights. Central to this expansion will be our unwavering commitment to delivering world-class customer service. By harnessing the power of big data, machine learning and AI in the digital environment, we will monitor and optimise the entire customer journey and experience.

We will proactively meet and exceed customer expectations in today’s fast-paced business landscape.”

Paratus Namibia Holdings Limited, in partnership with Cirrus Capital, a fully Namibian-owned financial services firm, has worked to engage and inform local and foreign shareholders regarding the rights issue, to ensure their comprehensive understanding and participation in the process.

“The successful investment secured from prominent institutional investors and additional investment from Paratus Group shareholders has contributed to the significant capital raised,” the company stated.

Paratus Namibia added that it is now well-positioned to transform its business model, expand its market reach and continue delivering unparalleled value to customers.

The company remains committed to driving innovation, leveraging digital technologies, as well as contributing to the growth and development of the telecommunications sector in Namibia.