The impact investing portfolio of the Mineworkers Investment Company (MIC) has secured a 24.85% stake, for an undisclosed amount, in affordable wireless Internet service provider TooMuchWifi.

The strategic investment is expected to play a major role in enabling the Cape Town-based business to achieve its ambitions of providing economic Internet solutions to all South Africans, with the funding to be used to also appoint a South African CEO and expand the local leadership team to drive this expansion.

This followed the recently concluded investment campaign by MIC to target emerging, high-growth potential businesses of South Africa.

“MIC is committed to investing in businesses that will propel South Africa forward. We are an organisation that is rooted in the country we serve, and with every investment it is important for us to ensure a positive impact,” says MIC impact investment manager Thato Ntseare.

“We are excited with the potential that TooMuchWifi presents to significantly expand access to affordable data to communities, and the catalytic role that can play in driving economic growth.”

TooMuchWifi cofounder Ian Thomson adds that the investment will go a long way in servicing and accommodating low-income, informal customers who have been unable to afford technological advancements, as well as digital opportunities that the Fourth Industrial Revolution has to offer.

“This partnership ushers in an exciting new era of professionalism, a clear capacity to scale, and a visible demonstration of our commitment to growth and finding deserving candidates. The new CEO can count on the support and capital resources needed to democratise Internet access and associated connectivity enabled opportunities for South Africa,” he says.

TooMuchWifi was established by Thomson and Jonathan Endersby in 2016 to provide affordable premium Internet to underserved communities by activating local entrepreneurial energy and improving the communities served through strong social and economic commitments to the neighbourhoods they serve.

The business offers affordable hotspot data bundles, as well as a month-to-month subscription model, providing fast Internet and 99% uptime to residential and small business customers, through its proprietary technology stack and network.

Prices cited include R2/Gb and data vouchers from as little as R5. The uncapped lines are prepaid monthly deals priced between R249 and R499.

“Customers have been able to realise a combined saving of R500-million to R900-million, based on the data used, when converting from a mobile per gig offering to TooMuchWifi’s uncapped and hotspot offerings,” Thomson concludes.