Hotspot (the “Company”) is a telecommunication infrastructure, rural telephony network, renewable energy, and ICT company founded in 2008 with operations across Nigeria. Hotspot provides rural telephony services and manages and rents tower infrastructure sites to MNOs and internet service providers (ISPs) alike, to host their antennas, base stations, and their transmission equipment. Hotspot has built and leased over 100 base stations to major MNOs like Airtel and 9Mobile.
Hotspot builds, owns, and operates WiFi, 2G/ 3G/ 4G LTE mobile network base stations in select rural communities, pre-agreed with the MNOs, in Nigeria (the “Project”). The services provided by Hotspot are fully turnkey and only require the MNOs to support the initial integration into their network of a dedicated Base Station Controller (BSC).
Project Highlight
Under the Project, Hotspot established the special purpose vehicle, Micropolitan Mobile Connectivity Limited to raise local currency finance from the debt capital markets, to build, own, and operate 120 solar-powered mobile network base stations in select rural communities in collaboration with MNOs in Nigeria.
The Project involves the deployment of telecoms voice and data networks in partnership with MTN and other Mobile Network Operators (MNOs) in the country. Under a partnership with the largest Mobile Network Company, the Company targets up to 500 base stations within 1 year with an intention to scale to up to 2,000 sites over a three (3) to seven (7) year period, under which it will build, own, and operate mobile network base stations in select rural communities in Nigeria.
955
Million Naira
Transaction Details
With InfraCredit’s guarantee, Hotspot was able to access the domestic debt capital markets for the first time and raised NGN0.955Billion 7-year Series 1 Guaranteed Bond
“On June 3, 2023, Hotspot Network Limited (“Hotspot”) issued an NGN 955 million 7-Year Series 1 Fixed Rate Guaranteed Senior Green Infrastructure Bonds Due in 2030 (“the Hotspot Series 1 Bond”) under a NGN50 billion Debt Issuance Program. The bond is blended with NGN 955 million in first loss subordinated concessionary loan capital from the Foreign, Commonwealth, and Development Office (FCDO).
| Issue date | 30 June, 2023 |
| Co-obligor | Hotspot Network Limited |
| Principal Amount Outstanding | 955,000,000 |
| Sector | ICT/Telecommunications |
| Tenor | 7 years |
| Location of Operation | North-West, North-Central, North-East, South-West, South-East, Nigeria |
| Asset Size | 526.1kW |
