SealTowers Limited, a licensed Kenyan cell tower company, recently announced a partnership agreement with Everstrong Capital. The partnership will see Everstrong making a majority equity investment in SealTowers.
This investment will form part of the Ksh. 1.4 billion (USD 12.5 million) structured through the Everstrong Kenya Infrastructure Fund. The financing is required to facilitate a tower roll-out programme with a target of reaching 200 tower sites in the next two years.
Everstrong Kenya Infrastructure Fund is a Ksh. 5.7 billion (USD 50 million) fund, sponsored by US-based Everstrong Capital. Since its inception in 2016, SealTowers works to build, own, lease, and manage telecommunication towers and infrastructure for Kenyan Telecommunications Service Providers.
The company has running Framework Build and Lease contracts with 5 major Mobile and Internet Service Providers in Kenya, allowing them to host telecommunication equipment on SealTowers-owned infrastructure. Everstrong’s investment comes at a critical time and aims at supporting widespread access to ICT services and addressing gaps in network coverage across Kenya. This is including SealTowers’ participation in the Communication Authority’s Rural Tower Expansion Project 2021/2022.
“We believe that the partnership with Everstrong Capital will enable us to tap into massive opportunities in the telecommunications sector in both urban and rural locations. The expansion of 4G and 5G networks will require many more infill tower sites to support networks. In addition, large buildings, malls, commercial and educational institutions provide an opportunity for in-door network solutions and provide expansion opportunities for SealTowers,” said Dr. Tony Monda, the Founder and CEO of the company.
On his part, Philip Dyk, Managing Partner of Everstrong Capital said, “We are excited to announce this investment in SealTowers Limited and look forward to helping expand network access throughout the country. The Everstrong team brings to the table a wealth of experience and skill in structuring, capitalizing, and managing companies, while leveraging SealTowers expertise in telecommunication, tower design, engineering, deployment and management.”