TLG Capital, a UK-based alternative asset manager, has partnered with International Investment Bank (IIB) East Africa and IIB Group Holdings (Bahrain) to deploy a $10 million debt financing facility aimed at supporting small and medium-sized enterprises (SMEs) in Djibouti. This strategic investment marks a significant step forward in the country’s digital transformation and regional connectivity ambitions.
The financing will be directed toward the development of essential digital infrastructure, including broadband expansion and improved internet quality, enabling thousands of businesses to access reliable digital services. The initiative aligns with Djibouti’s national development strategy, which prioritizes technology-driven growth and positions the country as a logistics and digital hub for the Horn of Africa.
The transaction was spearheaded by Mehdi Zehaichi and Adnan Siddiqui on behalf of IIB, with Ayoola Oladipupo and Aum Thacker leading for TLG Capital. Legal counsel was provided by ENS and Hannaford Turner for TLG Capital, and Trowers & Hamlins for IIB East Africa.
Over the past decade, Djibouti has emerged as a critical gateway connecting East Africa to the Middle East and Europe. Its strategic location on the Red Sea has made it a landing point for multiple submarine internet cables, reinforcing its role as a digital corridor. Despite handling over 95% of Ethiopia’s maritime trade, Djibouti’s domestic digital infrastructure has lagged in affordability and accessibility. This new facility aims to close that gap by accelerating infrastructure deployment and enhancing business productivity.
Aum Thacker, Senior Investment Professional at TLG Capital, commented:
This private credit deal in Djibouti is asset-class building. Our mission is to make African private credit investable at scale—this transaction is designed to catalyze capital and attract investors into new markets and products.
Sohail Sultan, Chairman of the IIB Group, added:
This is the kind of intelligent capital Djibouti deserves—fast to deploy and designed to serve real businesses. Together with TLG, we’ve demonstrated how to turn complexity into executable finance, pioneering a model where British commercial capital can drive development across Africa while delivering strong returns.
