US approves $155m WIOCC Africa investment

Keypoints:

DFC approves up to $155m for WIOCC
Expansion could cost as much as $450m
WIOCC backed by African, global investors

THE US International Development Finance Corporation has approved an equity investment of up to $155m in WIOCC Group, backing plans to expand fibre networks, subsea connectivity and data-centre capacity across Africa.

The transaction would give the US government’s development finance arm a direct equity stake in one of Africa’s most extensive open-access digital infrastructure platforms as demand for cloud computing, artificial intelligence and high-capacity connectivity accelerates.

DFC’s project disclosure puts the overall cost of the expansion at up to $450m. The agency says the investment is intended to support upgrades to subsea and terrestrial networks, add nearly 25 megawatts of data-centre capacity and help WIOCC increase the number of subscribers served by its fibre infrastructure 100-fold by 2031.

Who owns WIOCC?

WIOCC is not controlled by a single company or government. Its existing shareholder base combines African telecommunications and infrastructure organisations with international institutional investors.

The company says its shareholders include Uganda Telecom, Dalkom Somalia, Djibouti Telecom, Mozambique’s TMCEL, Zanzibar Telecom, Botswana Fibre Networks, Lesotho Communications Authority, ONATEL, Zimbabwe’s TelOne and Telkom Kenya.

International Finance Corporation and African Capital Alliance are also shareholders. WIOCC says ACA and IFC joined its shareholder base during a $200m debt-and-equity capital raising completed in 2021–22.

The ownership structure is now set to broaden further.

Africa Finance Corporation and Saudi-based Vision International Investment Company signed a shareholder subscription agreement on September 1 to invest a combined $300m in WIOCC.

That investment is intended to support additional data-centre capacity, extend terrestrial fibre into more markets and finance selected subsea infrastructure.

Washington targets digital infrastructure

DFC describes the proposed WIOCC transaction as its largest digital investment to date and says it would support American hyperscalers and the wider US technology ecosystem as those companies expand their activities in African markets.

WIOCC operates an open-access, carrier-neutral infrastructure platform spanning 30 African countries, with interests in subsea cables, terrestrial fibre and more than 40 core and edge data centres.

The company says its infrastructure footprint spans more than 200,000 kilometres of subsea systems and over 115,000 kilometres of terrestrial fibre.

Its network footprint also includes capacity on major international systems such as Google’s Equiano cable and 2Africa.

The investment comes amid a wider flow of capital into Africa’s digital infrastructure sector.

Liquid Intelligent Technologies secured a $660m financing package, reflecting growing investor appetite for African fibre, cloud and connectivity assets.

In North Africa, Egypt is pursuing a $1bn data-centre expansion as governments and private operators position themselves for stronger demand from cloud computing and artificial intelligence.

AI raises infrastructure stakes

Artificial intelligence is increasing the strategic value of Africa’s digital infrastructure because AI workloads require greater computing power, storage, international bandwidth and reliable electricity than many conventional internet services.

That is pushing investors towards data centres, fibre networks and subsea connections capable of moving and processing much larger volumes of data.

WIOCC chief executive Chris Wood said when announcing the AFC and Vision Invest transaction that Africa was positioned to benefit from the next phase of global digital growth, but would require scalable infrastructure to capture that opportunity.

The investment case also rests on Africa’s continuing connectivity gap.

WIOCC, citing International Telecommunication Union figures, said 35.7 percent of Africans were using the internet in 2025, compared with 73.6 percent globally.

Closing that gap requires more than additional mobile connections. It increasingly depends on high-capacity fibre, resilient subsea systems, local data centres and computing infrastructure capable of supporting cloud and AI services closer to African users.

New cable projects are also emerging around the continent. Kenya’s planned LuLu cable corridor, for example, is intended to add submarine and terrestrial capacity between Mombasa and Lamu.

Capital converges on WIOCC

The proposed DFC investment therefore sits within a much wider financing shift.

WIOCC is attracting capital from African institutions, international development investors and Saudi-based private investment at a time when digital networks are becoming increasingly important to economic competitiveness.

For WIOCC, the combination of potential US public equity, African institutional investment and new capital from Saudi-based Vision Invest could provide substantial resources for its next expansion phase.

For Africa, the significance extends beyond one infrastructure company.

Who finances, owns and operates the fibre, data centres and subsea systems carrying the continent’s digital economy will increasingly influence where data is stored, how cheaply businesses access cloud services and whether African markets can participate competitively in the next generation of AI-driven growth.