[New Podcast] Mawingu’s CEO Farouk Ramji on US$15M Fundraise & Tanzania Entry with Habari Acquisition.
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This week, Mawingu has once again positioned itself as a leader in East Africa’s Internet landscape with the announcement of a major milestone: a $15 million (KES 1.9 billion) fundraise and the acquisition of Habari, a Tanzanian ISP headquartered in Arusha. This bold move solidifies Mawingu’s position as the region’s largest ISP focused on rural and peri-urban markets.
In this exclusive podcast session, I had the privilege of sitting down with Mawingu’s CEO, Farouk Ramji, to unpack these remarkable milestones and what it means for the future of the Internet in East Africa. We took a deep dive into Mawingu’s growth trajectory, the challenges and opportunities in underserved markets, and the exciting road ahead.
The Big Announcement: Habari Acquisition In Tanzania.
Mawingu’s acquisition of Habari marks a strategic expansion into Tanzania, a market with vast potential. Habari, with over 30 years of experience, has established itself as a pioneer in delivering reliable Internet to rural Tanzanian communities. For Mawingu, this acquisition is more than just growth — it is about aligning with a partner that shares its mission of bridging the digital divide.
“Habari was a perfect fit for Mawingu,” Farouk explained to me during our conversation. “Both companies share a deep commitment to providing Internet access to underserved areas. With our systems, processes, and capital infusion, we can take Habari’s strong foundation to the next level.”
Mawingu plans to retain the Habari name while refreshing the brand to reflect its youthful, vibrant vision. This strategic decision acknowledges Habari’s longstanding equity in Tanzania while blending Mawingu’s innovative DNA.
US$15M Funding: Validating An Ambitious Agenda.
The acquisition and upcoming expansion efforts are bolstered by Mawingu’s US$15 million funding round. This financing is a combination of US$11 million in debt from the Africa Go Green Fund (managed by Cygnum Capital) and US$4 million in equity from existing investors InfraCo Africa and the Dutch Entrepreneurial Development Bank, FMO.
Farouk noted that this fundraise was an “add-on” to the Series B round closed in January 2023, bringing Mawingu’s total capital raised in under two years to $24 million. He emphasized the collaborative effort behind the funding, which involved skilled transaction advisors, legal teams, and an experienced CFO leading the charge.
“Raising funds requires focus, persistence, and teamwork,” he shared with me. “This round took nearly 18 months of effort and consumed about 40% of my time daily. But the payoff is clear: we’re now equipped to scale in both Kenya and Tanzania.”
Scaling Affordable Internet Across East Africa
The core of Mawingu’s strategy lies in tackling the “last mile” connectivity challenge in rural and peri-urban areas, where Internet services are either nonexistent or prohibitively expensive. While many ISPs focus on urban centers due to their density, Mawingu has developed a unique model that combines wireless and fiber technologies to build sustainable networks in less dense regions.
“We go in with wireless first to establish a customer base and later deploy fiber when the density justifies it,” Farouk explained. This approach has already seen Mawingu connect over 21,000 households and businesses across 30 counties in Kenya.
Technology and Impact
Beyond connectivity, Mawingu leverages green technology to ensure sustainability. From using renewable energy solutions to deploying scalable infrastructure, the company has redefined what it means to connect rural and peri-urban communities with world-class Internet.
Mawingu’s 175-tower network, built with redundancy and adaptability, is another critical asset that supports its expansion. These towers enable connectivity in challenging terrains and will be instrumental in the Tanzanian rollout.
The People Behind the Progress
One of the most inspiring aspects of Mawingu’s story is its people-centric approach. Farouk shared a touching anecdote about a technician who went above and beyond to support a visually impaired customer. This level of dedication confirms Mawingu’s emphasis on both customer-first and employee-first values.
Internally, Mawingu nurtures talent through mentorship and skill development. Farouk recounted the story of Martha, an IT team member who rose to lead the department, reflecting the company’s commitment to fostering leadership from within.
Looking Ahead: The 2028 Vision
Mawingu’s audacious goal is to impact 1 million East Africans by 2028. Based on its current customer base of over 100,000 (representing approximately 400,000 individuals), the company is on track to achieve this target through strategic acquisitions like Habari and continued growth in existing markets.
The road ahead includes exploring other East African markets such as Uganda, Rwanda, and the Democratic Republic of Congo (DRC). However, acquisitions will only be pursued if they align with Mawingu’s disciplined financial and operational strategy.
“It’s not just about growth for growth’s sake,” Farouk emphasized. “We’re looking for small to medium ISPs with solid foundations that we can elevate with our capital, processes, and systems.”
Leadership Lessons
Farouk reflected on his three-year journey at Mawingu, highlighting the importance of building capacity in people and staying focused on long-term goals, even in the face of obstacles. His vision for the future is clear: to create an ecosystem where employees, customers, and communities thrive together.
Conclusion
Mawingu’s acquisition of Habari and the $15 million funding round mark a significant leap forward in its mission to democratize Internet access across East Africa. This milestone is an affirmation to the company’s innovative approach, disciplined execution, and unwavering commitment to impact.
As Mawingu scales new heights, it is reshaping the narrative of Internet connectivity in underserved markets. The journey is far from over, and we can’t wait to see what the future holds for this incredible company.
