Good morning

October 9, 2023 Q&A communication

Towards EBITDA positive

To reach this important milestone, the investment required is around US$ 4M. With the financing in place on time, the Company expects to meet this milestone during Q2 2024. While pursuing the

·         Capital raise options:

o   Operating cash generation

o   Local commercial banks credit facilities

o   Subcontractor vendor financing

o   DFI bridge loan

o   NuRAN Africa holding equity

As mentioned in the video on Agoracom related to the financing, NuRAN is progressing on these options while actively contributing to EIB loan process aiming to signature.

While working on the various financing options, NuRAN has activated the use of factoring inflows and operating cash to:

·         Cameroon

o   Relocate 4 low traffic sites

o   Complete site acquisition to deliver the remaining of the 122 sites in inventory

o   Purchase additional materiel

·         DRC

o   Complete 34 site acquisition

o   Perform commercial activities to improve site performance

o   Perform Environmental and Social Impact activities

·         South Sudan

o   Complete site survey for 20 sites

o   Complete site acquisition

·         Madagascar

o   Materiel sourcing for 10 sites

o   Core Network element purchasing and shipping

o   Complete site survey for the first 10 sites in partnership with Orange

The activities listed above will help to get momentum to build towers. Following BOD recommendations, the objective of the last 2 months is to initiate the new countries while improving current network performance in DRC and Cameroon to support our financing activities.

From survey to construction, deploying site go thru multiple steps requiring funds injection at all levels. As an example, shipping core elements for Madagascar cost around 40K ( material purchase, shipping, duty clearance and local transportation).

During those 2 months, we concluded negotiations with local contractors for all countries that will allow us to move quickly when the financing is in place.

·         Cameroon

o   Sagemcom

o   Netis group

·         DRC

o   TAT

o   Netis Group

o   Natech

·         South Sudan

o   Tandem

·         Madagascar

o   Camusat

·         Ivory Coast

o   Netis Group

o   Camusat

We now have sufficient capacity to achieve our rollout objectives. Concerning the material, everything could be sourced within 6 to 8 weeks of manufacturing lead time plus 4 to 6 weeks of shipping via sea. On top of the material in country to complete 260 sites in Cameroon, DRC, and South Sudan, the Company has quick access to ‘’ready-to-ship’’ material from various suppliers for more than 60 sites.

Extending debts

The Company is completing the paperwork to extend the current debt with its Satellite partner for 12 months. Regarding the US$ 1.6M loan, we are negotiating an extension from October 25 as we speak.

Regarding the potential impact on EIB loan, there is none as potential conflicts with EIB securities have been carved out already. In addition, EIB loan comes at the African structure level with no recourse on the parent company.

NaaS Revenue

Interesting point here! We are planning to cover this aspect in another tutorial video explaining the revenue flow and cash movement within the company.

In both countries, Orange has not accepted all sites so we cannot invoice them thus the delta. The commercial activities, site relocations, better site selection and more are extremely important to progress on this front.