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The company will use the funding to spearhead its expansion into lucrative markets in the Gulf States
Virgin Mobile Middle East has raised $30 million in pre-IPO funding, according to a company release.
The funds have been generated as a sharia compliant Exchangeable Sukuk Certificate.
“We are delighted to raise this funding to support the continued growth and expansion of the Company in the Middle East and North African markets. The telecom sector in the region remains an attractive sector and as the Company has demonstrated in its existing markets, we are uniquely positioned to leverage the MVNO model to deliver growth and financial performance in new markets," said Alan Gow, CEO of Virgin Mobile Middle East.
The money will be used to help the company increase its reach across the Middle East and North Africa region. Virgin Mobile currently operates in Saudi Arabia, through its subsidiary Friendi KSA, and has aspirations to move into lucrative markets in the Gulf States.
“We are pleased to complete this transaction after carefully exploring appropriate funding routes in line with the company’s preparations for a potential public markets listing. The strong demand for the Sukuk certificates underscores investors’ confidence in VMMEA’s growth and expansion plans,” said Peter Langkilde, chairman of Virgin Mobile Middle East.
