CloudExtel Secures Rs 200 Crore External Debt from NIIF IFL and ABFL

• ByStartupStory     |    April 24, 2024

Mumbai-based Network-as-a-Service provider CloudExtel has announced the acquisition of Rs 150 crore in external debt from NIIF Infrastructure Finance Limited, alongside an additional Rs 50 crore from Aditya Birla Finance Limited. This strategic move aims to bolster CloudExtel’s market presence in fiber and small cells deployment across India.

CloudExtel, which recently attained a credit rating of ‘A-‘ from CARE Ratings Limited, is poised to utilize this infusion of capital to fortify its position in the digital landscape. Kunal Bajaj, CEO and Co-founder at CloudExtel, emphasized the significance of this development, stating, “India’s digital landscape is poised for substantial growth with emerging technologies set to revolutionize the ecosystem. This partnership with NIIF IFL and ABFL marks a significant step in our journey as the debt capital infusion will now be complementary to the investment by Macquarie Capital and Advencap.”

He further added, “The combined capital will strengthen our position to effectively respond to market opportunities as we expand our deployment in network infrastructure to transform the telecom space.”

CloudExtel offers a wide array of infrastructure services including small cell hosting, FTTH, intra-city fiber, and virtualized networks to a diverse clientele comprising telecom operators, internet service providers, data centers, enterprises, and others. With a footprint spanning across 475 cities and towns in India, the company is poised for exponential growth in the coming years.

In a recent interview, CloudExtel articulated its ambitious plans to expand its fiber and wireless infrastructure five-fold over the next five years, targeting advancements in 4G, 5G, and data centers. The surge in data consumption in India coupled with expanding urbanization is expected to fuel the demand for accelerated infrastructure rollout, as highlighted by the company in its statement.

CloudExtel faces competition from notable players such as picoNETS and Cyient, yet remains confident in its ability to leverage this substantial capital infusion to solidify its market position and drive innovation in the telecom infrastructure sector.

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