South African PE Fund Plans to Acquire 35% Stake in Kenya’s Mawingu Networks

Pembani Remgro Infrastructure Fund II (PRIF II), a South African private equity fund, plans to acquire a 35% stake in Kenya’s Mawingu Networks. This deal, if approved, will give the PE fund a controlling interest in the fast-growing Kenyan internet service provider. The proposed transaction is currently being reviewed by the Comesa Competition Commission (CCC), which oversees competition rules across many African countries. While the final decision is yet to be made, this move marks a major shift for both Mawingu Networks and the region’s internet market.

Mawingu Networks has attracted global attention for its efforts to expand affordable internet to both rural and peri-urban areas in Kenya and beyond. The company’s growth strategy includes using both fixed wireless and fibre internet technology to reach communities that bigger companies have often overlooked. Earlier this year, Mawingu raised $15 million in debt financing. The main backer was the Africa Go Green Fund, which provided an $11 million loan. These funds helped Mawingu grow its network in Kenya and make a key acquisition of Habari, an established Tanzanian internet provider. The aim was to expand its footprint into Tanzania and bring reliable connectivity to more East Africans.

The equity sale to Pembani Remgro Infrastructure Fund II comes at a time when more investors are showing interest in Africa’s digital infrastructure. The deal, where the PE fund plans to acquire a 35% stake in Mawingu Networks, signals growing confidence in digital services that target underserved populations. As noted by the CCC, there are no significant overlaps or competition issues between PRIF II and Mawingu, but the commission will still closely review whether the acquisition could affect competition in the wider region.

PRIF II is managed by Pembani Remgro Infrastructure Managers. The fund is supported by major development investors like the African Development Bank, European Investment Bank, British International Investment, and the Coalition for Human Rights in Development. Since its start, PRIF II has invested in 11 companies across several African countries, including Kenya, Ethiopia, and Madagascar, and has already exited four of those investments. The fund’s focus is mainly on infrastructure, including digital and internet services, making the move to acquire a 35% stake in Kenya’s Mawingu Networks a natural fit for its growing portfolio.

Mawingu Networks was founded in 2013 by Joakim Vincze and Farouk Ramji. The company began by using unused TV frequencies to deliver the internet, helping it reach rural areas where traditional connections were impossible or too expensive. Over time, Mawingu switched to a combination of fibre optic and fixed wireless technology. This helped the company reach more of western and northern Kenya, areas other providers often ignore. Today, Mawingu holds a 3.2% share of Kenya’s fixed internet market, ranking sixth among providers. Its subscriber count has risen sharply, jumping from about 16,000 in 2022 to nearly 59,000 by March 2025. Much of this growth has been possible thanks to investment from organizations like Microsoft and the US International Development Finance Corporation.

Over the years, Mawingu has raised $29 million through six funding rounds. Its backers include a mix of international development finance institutions (DFIs) and venture capital investors, such as E3 Capital, FMO, Aster, Africa Go Green Fund, and Kepple Africa Ventures. The fresh injection of capital from the PE fund plans to acquire a 35% stake in Mawingu Networks, offering both money and management expertise to help drive the next stage of growth.

For Kenya and neighboring countries, PE fund’s plans to acquire 35% stake in Mawingu Networks could mean even wider internet access for communities that still lack reliable service. As PRIF II takes a more active role, all eyes will be on how this partnership transforms connectivity for thousands of new households and businesses. The full details and approval of the deal are expected to be finalized after the CCC completes its review in the coming months.

Was this information useful? Drop a nice comment below. You can also check out other useful contents by following us on X/Twitter @siliconafritech, Instagram @Siliconafricatech, or Facebook @SiliconAfrica.