Tingo International Holdings, bags $400M funding commitment from GEM

A rapidly expanding US-based group, Tingo International Holdings, Inc. has reportedly announced that it has obtained an investment commitment of $400 million from Luxembourg based private alternative investment group, GEM Global Yield LLC SCS.

According to the agreement, GEM is expected to provide Tingo International Holdings a Share Subscription Facility of around $400 million for a duration of 36 months following the public listing of the latter. Tingo International Holdings will reportedly manage the timing and maximum number of drawdowns, as a part of which, the company can tap up to $20 million on the first day of trading.

Along with a public listing, the company is expected to issue warrants to GEM to purchase nearly 6.4% of the common stock of the company.

Speaking on the move, Dozy Mmobuosi, CEO of Tingo International Holdings, stated that the company is planning to go public in the upcoming months by either merging with a special purpose acquisition firm or direct listing on the NASDAQ. The company is delighted about the agreement as it initiates a series of steps that it will be taking in the following weeks for achieving its long-term goals, Mmobuosi added.

Sources have confirmed that the company will utilize the funds to strengthen its business by investing in its ongoing development and expansion activities. It intends to do so through potential acquisitions, with an aim to become market leaders in telecommunications, FinTech and AgriTech sectors in Africa.

For the record, Tingo International Holdings, Inc., which was established in January 2020 had acquired its fully owned subdivision named Tingo Mobile, PLC, a limited company in Nigeria as a part of a share exchange with shareholders. The company along with its consolidated subsidiaries, is a communications firm that offers personal communications services through Tingo Mobile in Nigeria. It provides the service using GSM technology for subscribers outside and within agricultural sector.

Source credits: https://www.globenewswire.com/news-release/2021/06/03/2241613/0/en/Tingo-International-Holdings-Inc-Secures-400-Million-Capital-Commitment-from-Global-Emerging-Markets-GEM-as-Company-Seeks-to-Go-Public-in-Coming-Months.html