SA investment firm DNI has invested more than R2.1 billion across the country’s digital economy. (Image: istockphoto.com)
DNI, a privately owned South African investment company, has announced investments exceeding R2.1 billion across connectivity, digital services and fintech.
The investment spans Frogfoot, Vox and Hypa, Mission Mobile and KnowRoaming, adding complementary capabilities in fibre infrastructure, device access and eSIM services.
DNI says the capital raise into Frogfoot and Vox values those companies at an aggregate R14.4 billion.
As the largest shareholder grouping, the DNI Consortium – comprising DNI, Sabvest Capital, Masimong Group Holdings and Draper Gain International – will jointly hold a 34.8% interest in the companies. Sabvest and Draper-Gain are existing shareholders in DNI.
Founded more than 25 years ago, Frogfoot has grown into SA’s fourth-largest fibre network operator.
According to DNI, the growth capital will accelerate the expansion of affordable, high-speed connectivity into previously underserved and lower-income township communities, reaching 360 000 homes over the next 12 months and creating more than 5 000 direct jobs.
The investment in Vox is aligned with DNI’s broad B2B relationships. Vox’s portfolio covers fixed and wireless connectivity, voice, data, cloud, collaboration and cyber security services, serving businesses, public sector customers and households across SA.
Hypa, wholly owned by Vox, focuses on prepaid fibre broadband for lower-income households across multiple open access fibre networks, including Frogfoot’s.
Incoming investors are supporting Frogfoot and Vox’s management teams, who participate directly through an equity stake.
“This capital raise is designed for societal impact at scale,” says Abraham van der Merwe, who will lead the companies as CEO alongside Gert Koen as CFO.
“Every additional home we reach in a township or lower-income community represents another family gaining access to the digital opportunities made possible by fibre. Closing the digital divide is critical because it enhances access to education, financial inclusion, remote work and local micro-enterprises.”
Mission Mobile is an early-stage mobile technology company that makes smartphones and connectivity more affordable, enabling mobile networks to engage and retain more customers through a retail model available within network stores.
Dr Ryan Noach, CEO of DNI.
DNI will provide growth capital to scale its model of bite-sized monthly payments for smartphone and connectivity access.
“The impact of digital inclusion is measured not only by connectivity, but by what people can achieve once connected,” says Tim Strike, co-founder and CEO of Mission Mobile. “Yet many South Africans still struggle to access the devices and connectivity that make those opportunities possible.”
DNI’s investment in KnowRoaming is expected to broaden its SIM distribution capabilities and address growing consumer connectivity needs.
According to Juniper Research, global travel eSIM revenue is expected to reach $8.7 billion by 2030, driven by increased cross-border travel, adoption of eSIM-enabled devices and demand for flexible, app-based connectivity solutions.
“The global shift to eSIM technology is changing how travellers and businesses connect across borders,” says Mike Roffey, director of KnowRoaming. “DNI brings significant telecommunications expertise, strong industry relationships and a long-term commitment to digital innovation. This partnership positions us to accelerate our growth across the African continent and expand our international footprint.”
“Access to digital technology increasingly determines access to opportunity,” says Dr Ryan Noach, CEO of DNI. “Whether it is broadband connectivity, smartphone ownership or global mobility, our goal is to help more people participate fully in the digital economy, at scale.”
