Telecel Group obtains $20 million in funding to enhance its presence in West Africa

The Africa Credit Opportunities Fund (ACOF), a private credit fund, and Telecel Group, a telco company based in Africa, have teamed up to invest $20 million in Telecel Global Services. This joint initiative aims to expand Telecel Global Services’ footprint in West Africa while promoting innovation and reducing the digital divide in Africa.

The announcement follows hot on the heels of Vodafone Ghana’s reveal that it will be rebranded as Telecel Ghana by February 2024, a development subsequent to a 70% stake acquisition in the company about a year ago.

ACOF is a collaborative effort between Gateway Partners and the Fund for Export Development in Africa (FEDA), which is the African Export-Import Bank’s platform for development impact investment.

This partnership not only stimulates progress and innovation in the telecommunications sector in Africa, but it also has a positive impact on job creation, technological growth, and overall economic development on the continent.

Telecel Group CEO, Moh Damush, enthusiastically referred to the announced partnership as a “transformative venture”. He conveyed that the considerable investment not only demonstrates confidence in Telecel’s capacity for expansion but also aligns with the company’s ambition to foster a more inclusive and interconnected digital economy in Africa.

On the other hand, ACOF CEO, Andrew Bainbridge, stressed that the investment not only holds substantial financial prospects but also serves as a testament to the continent’s dedication to enhancing digitalization and e-commerce.

Telecel Group, a telecom company with a focus on Africa, was founded by Miko Rwayitare in 1986. The company operates in more than 27 countries, including Gabon, Equatorial Guinea, the Central African Republic, the Democratic Republic of the Congo, and Chad, catering to over six million active customers.

In October 2023, Telecel declared that it had successfully extended Vodafone Ghana’s network infrastructure with the addition of 300 new 4G sites, the majority of which were already operational across Ghana.

Moreover, about six months prior to this expansion, Lynk Global, a company that offers satellite to standard phone telecommunications, entered into its second commercial agreement with Telecel Group. This partnership aimed to provide full coverage for Vodafone Ghana’s 31 million subscribers through Lynk’s cutting-edge ‘space-based cell towers’ technology.

This collaboration is expected to increase rural coverage, ensure service resilience, and support Internet of Things (IoT) devices.