Dimension Data Raises $2.9m for Nigeria Fibre Network Expansion
Dimension Data has raised $2.9 million through the first tranche of a $14.7 million of a larger bond programme approved in the first quarter to finance metro and last-mile expansion in Nigeria.
The company has opted to use a special-purpose vehicle structure which allows for multiple drawdowns as projects mature.
Nigeria has about 154.7 million internet subscriptions but only 156,662 fixed-wired connections of any kind, according to regulator data.
Most users are on mobile networks that are dependent on fibre backhaul, while banks, data centres and enterprises require dedicated line-of-sight for reliable service, underscoring the need for stronger fixed infra as the digital economy grows.
The fresh capital will target these gaps, with additional tranches likely as the builds progress.
Enhanced fibre networks lower latency and offer resilience in support of the same digital services that fintechs, cloud providers and AI companies require to operate at scale.
As demand for cloud computing, fintech services and AI infrastructure continue to rise, the fibre expansion could be an important part of the underlying network needed to support Nigeria’s next phase of digital growth.
