• The Y Combinator-backed internet service provider is set to list on the Nigerian Exchange (NGX) two years after announcing plans to become a public company, aiming to expand and secure capital amid a tepid VC environment.
• Tizeti offers unlimited internet access, co-branded Wi-Fi hotspots with Facebook, and VoIP services, with a growing network delivering 180 TB of data daily. Its new FREEFIBER.AFRICA service provides affordable US-based services for $10/month.
• The IPO will help Tizeti raise capital, offer exit opportunities for early investors, and mark a significant step for NGX as it seeks to attract more Nigerian startups to list locally.

Tizeti Plans to List on Nigerian Exchange

Tizeti, a Y Combinator-backed internet service provider operating in Nigeria, Togo, and Ivory Coast, will be listing on the Nigerian Exchange (NGX). The step was two years after first revealing its ambitions to become a public company.

Founded in 2013 by Kendall Ananyi and Ifeanyi Okonkwo, the company aims to provide affordable internet across West Africa. By 2018, Tizeti reported USD 1.2 million in revenue from 3,000 subscribers.

Backing and Funding Success

Supported by Y Combinator, 4DX, and Ventures Platform, Tizeti has raised USD 7.4 million across two funding rounds.

With this IPO, Tizeti seeks to expand its operations while securing funds from a broader investor base, especially as VC activity remains subdued. The move will also help the company avoid the pressure of achieving VC-type returns.

Tizeti Superior Offering to Satellite Providers

Tizeti believes its solutions, including unlimited internet access for homes and businesses, Wi-Fi hotspots with Facebook, and VoIP services, are superior to satellite internet providers like Starlink. The company recently launched FREEFIBER.AFRICA, a subscription service offering a US IP address, phone number, debit card, and mailing address for USD 10/month.

Tizeti’s network delivers over 180 terabytes (TB) of data daily, with a total of 35,219 TB expected by December 2023. The upcoming IPO is to provide Tizeti with capital from a wider range of investors. The move is particularly timely as Nigerian startups increasingly seek domestic listings. “We have started that journey but are focused now on the launch of our fiber broadband service,” said Temitope Osunrinde, Vice President for Marketing at Tizeti Networks, while refraining from sharing a timeline for the IPO.

A Positive Step for NGX and African Startups

The IPO marks a significant milestone for the Nigerian Exchange (NGX), which has struggled to attract Nigerian startups. Many African startups opt for foreign listings, but several have faced challenges with international exchanges. As Aboyeji remarked, “They need to think carefully about why they need to raise a Series A and from whom.”