NexaWave Fibre Networks Business Plan › Section 26 › Conclusion & Investment Highlights

• Proven model in a proven market: Vumatel
  validated open-access wholesale fibre at scale; NexaWave replicates the
  economics with a township-first differentiation targeting genuine white
  space.
• Large structural opportunity: 6.1m homes passed
  nationally, FTTH subscriptions +22% to 3.01m, yet home internet
  penetration only 17.4% — a durable coverage-to-adoption gap.
• Long-life annuity assets: R19.8bn gross /
  R17.8bn net infrastructure base generating recurring wholesale revenue
  with high switching costs and decades of life.
• Honest financial architecture: sponsor headlines
  preserved and independently stress-tested; the funding gap, negative
  free cash flow, penetration dependency and exit-multiple sensitivity
  disclosed and quantified rather than smoothed.
• Asset-backed downside: even in stress, lenders
  recover against a multi-billion-rand physical network and equity retains
  residual value; the modular build is throttleable, not fragile.
• Credible returns with identified risks: 4.1x
  MOIC / 32.6% IRR at a mid-range 11.0x exit — geared to penetration,
  cost-per-home and the second-round funding close.
• Mandate-aligned impact: ≥40% township build
  makes NexaWave a natural fit for DFI blended-finance
  participation.

NexaWave Fibre Networks offers infrastructure investors and lenders
exposure to one of South Africa’s most durable structural themes — the
build-out of open-access digital infrastructure — through a plan that
respects the two hard truths of the sector: it is enormously
capital-intensive, and value is created by passing the right homes and
connecting them, not merely by building fast. The Company seeks an
initial R11.5 billion, with a disclosed second-round
requirement of ≈R7.0 billion, to build a 2.8-million-home open-access
network. This memorandum has presented that case with the discipline it
demands: the build pace is aggressive and is labelled as such; the
funding does not close on the initial raise and this is stated plainly;
free cash flow is negative throughout and is funded as such; and the
returns are leveraged, penetration-dependent and exit-geared, and are
stress-tested as such. On those honest terms, the opportunity merits
serious consideration by infrastructure and development-finance
investors.

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of NexaWave Fibre Networks (Pty) Ltd.