As digital transformation accelerates, Africa remains underserved when it comes to data center capacity. The continent needs 1,000MW of IT capacity and 700 installations to meet demand according to a report by Oxford Business Group.

Data center operator Raxio Group announced on Monday (April 17th) that it has obtained a USD 170 million loan in several tranches to accelerate its growth and expand its footprint in Africa. The financing includes $110 million from the Emerging Africa Infrastructure Fund (EAIF) and Proparco, the branch of the French Development Agency (AFD) responsible for financing the private sector in developing countries.

A first tranche of 33 million should allow Raxio Group to build and operate data centers in seven countries in sub-Saharan Africa, namely Uganda, Ethiopia, the Democratic Republic of Congo (DRC), Mozambique , Angola, Ivory Coast and Tanzania. Each of its infrastructures will be equipped with the Tier 3 quality standard and will provide up to 11 MW of computing capacity.

The investment will allow Raxio Group to pursue its African expansion strategy initiated in 2019 and which provides for the construction of ten to twelve data centers on the continent. The company already operates a 1.5 MW facility in Uganda, with further facilities under construction in Ethiopia, Mozambique, Democratic Republic of Congo, Ivory Coast and Angola. After the initial rollout, EAIF and Raxio will expand to other African markets to meet growing demand and provide the necessary vital digital infrastructure.

“  This substantial additional funding is a resounding endorsement of what we have achieved so far and the soundness of our expansion strategy, and clearly positions Raxio as a leader in delivering class-leading data center infrastructure. in markets across Africa  ,” said Robert Mullins, Chief Executive Officer of Raxio Data Centres.

Source: Agence Ecofin