Kenya’s leading rural-focused Internet Service Provider (ISP), Mawingu, has secured $15 million in financing to drive its ambitious expansion into Tanzania. This strategic growth includes the acquisition of Habari, an Arusha-based ISP with over 25 years of experience delivering internet and ICT solutions to rural and underserved communities across Tanzania.
This acquisition represents a major milestone in Mawingu’s mission to bridge the digital divide in East Africa, offering reliable, affordable, and sustainable internet to regions historically overlooked due to logistical and financial complexities. Habari’s established presence in seven regions across Tanzania provides a strong foundation for Mawingu to replicate its successful model in Kenya and extend its reach to broader East African markets.
The $15 million financing includes $11 million in long-term senior debt from the Africa Go Green Fund (AGG), managed by Cygnum Capital, and $4 million in investments from InfraCo Africa and Dutch Entrepreneurial Development Bank (FMO). This capital injection enables Mawingu to scale its operations and deliver affordable internet to 1 million East Africans by 2028.
Farouk Ramji, CEO of Mawingu, celebrated the acquisition, saying:
“Today marks an incredibly important day for the African telecommunications market. Mawingu has grown from a start-up to an established Kenyan telco player and now, through the acquisition of Habari, we are expanding both our footprint and impact in the East Africa region. This acquisition, along with the additional $15 million of financing, will enable Mawingu to deliver its value proposition of affordable internet connectivity to homes in Tanzania, where only 300,000 out of 14 million homes are connected.”
Tackling East Africa’s Digital Divide
The disparity in internet access between urban and rural areas in Kenya and Tanzania remains a significant challenge. Many rural communities remain unserved due to the high costs and complex logistics of deploying stable connectivity. Mawingu addresses these challenges through its innovative infrastructure, which combines wireless, fiber, and smart green-energy technology to deliver reliable internet services tailored to rural and peri-urban areas.
The acquisition of Habari allows Mawingu to expand its footprint while leveraging its expertise in building sustainable and adaptable networks. Mawingu’s model, which has already connected over 20,000 homes and businesses across 30 counties in Kenya, is now poised to impact rural Tanzanian communities significantly.
Building Partnerships for Sustainable Connectivity
The investment reflects a broader commitment from key partners to support sustainable development through digital connectivity. Laurène Aigrain, Managing Director of AGG, expressed her enthusiasm for the partnership:
“We’re thrilled to support an ISP that’s not only expanding internet access to remote communities but doing so with sustainability at its core. This investment aligns perfectly with Africa Go Green’s mission to back climate-friendly solutions that drive real change.”
Claire Jarratt, Chief Investment Officer at InfraCo Africa, emphasized the transformative potential of Mawingu’s business model:
“PIDG is committed to unlocking the development potential of digital connectivity on the continent. Mawingu’s growth, underpinned by affordability and climate change mitigation, showcases how innovative businesses can scale to attract further private sector investment.”
Scaling Digital Access Across East Africa
Mawingu’s expansion into Tanzania is part of its broader vision to democratize access to knowledge, commerce, and social connections through affordable internet. The acquisition of Habari is a critical step in this journey, allowing Mawingu to bring meaningful connectivity to underserved communities and support education, employment, and economic development across East Africa.
With its robust infrastructure of 175 towers and a disciplined “buy-and-build” strategy, Mawingu is on track to deliver transformative impact, paving the way for a digitally connected and inclusive future in East Africa.