NuRAN Wireless, a specialist rural telecommunications company, announced an agreement in principle for a senior secured credit facility with a development finance institution (DFI) that provides up to $15 million in total funding.
The purpose of the Loan Facility is to finance a portion of NuRAN’s planned $30 million of expenditures linked to the installation of network infrastructure roll-out promoted by NuRAN in Cameroon and Democratic Republic of the Congo (DRC). Proceeds will be used for Project expenditures relating to the installation of network infrastructure by NuRAN and roll out of up to 120 rural sites in Cameroon and 850 sites in DRC.
The Loan Facility is conditional on, amongst other customary conditions in a financing of this nature, NuRAN raising the remainder of the $30 million in funding for the Project or $15 million NuRAN is in advanced discussions with other funding institutions for the majority of this remaining amount. In addition, NuRAN has already contributed approx. $5,100,000 in equity over and above the Project expenditures, which includes the first phase of 122 sites in Cameroon through the private placement proceeds previously announced and which includes Spacecom’s investment in July 2021.
Further debt and equity funding beyond the Project will be contemplated at the appropriate time which will allow for the completion of the build of the full 2,000 sites in DRC as well as the build of the South Sudan contract with MTN announced previously.
