Africa Data Centres (ADC) has secured ZAR2 billion ($109m) in financing.

The Cassava Technologies group has secured a bespoke financing solution arranged by the South African banking group RMB.

The funding will allow the company to expand its data center capacity and meet the growing demand for cloud computing in South Africa – expanding its hyperscale capacity by 20MW.

“This funding is a significant milestone in the growth of Africa Data Centres,” said Hardy Pemhiwa, president & Group CEO of Cassava Technologies. “It underscores our commitment to growth and our confidence in the future of the South African data center market. The additional funding will allow us to support the digital transformation journeys of our customers. Data centers are key to delivering on our vision of a digitally connected future that leaves no African behind.”

RMB acted as the coordinator, initial mandated lead arranger, and book runner on the facility.

“The data center space presents a significant digital infrastructure opportunity, as there is currently a large deficit of supply versus demand,” said Nana Phiri, head of corporate client group at RMB. “With the exponential growth in demand for data center capacity in Africa, we are proud to partner with Africa Data Centres as they facilitate digital transformation across the continent. We see this funding as part of RMB’s mandate of financing the development of a sustainable digital economy in South Africa.”

ADC currently operates one facility in the Diep River area of Cape Town with a second in development, in addition to two other South African facilities in the Samrand and Midrand areas of Johannesburg.

The company also operates data centers in Nairobi, Kenya, and Lagos, Nigeria. Last year, the company announced plans to expand its portfolio in Kigali, Rwanda; Lome, Togo; and add a 30MW data center in Accra, Ghana.