Rain has seen massive growth over the past year and will reach 1 million subscribers in the next few months.
This is according to African Rainbow Capital co-CEO Johan van der Merwe, who was speaking in an interview on Business Talk with Michael Avery.
African Rainbow Capital has a 19.93% shareholding in Rain. Other major shareholders include Quarme Private Equity Investments, Pluvial, and Montegray Capital.
Van der Merwe said that following the advent of the COVID-19 pandemic and the national lockdown, the number of monthly new sign-ups for Rain increased drastically.
He said that in December 2019, January 2020, and mid-February 2020, Rain was selling up to 18,000 SIMs on a monthly basis.
“We were selling anywhere between 15,000 and 18,000 SIMs per month in December, January, and mid-February,” Van der Merwe said.
“From March onwards, that jumped to anything between 60,000 and 75,000 SIMs per month.”
“It was quite high during March April May, June, July, and August,” he said.
These monthly SIM sales came down in October and November into the high 40,000s but saw significant growth again at the beginning of 2021.
“January [this year] was the second-highest month of SIM sales since lockdown – I think it was something like 71,000 SIMs sold,” Van der Merwe said.
Closing in on 1 million customers
Van der Merwe said Rain had projected to reach 1 million customers three years after its launch.
However, the network is now much closer to reaching this goal than initially expected and should hit 1 million customers in the next few months.
“Whereas we thought we were going to have 1 million customers in three years time, I think we are going to have 1 million customers in the next few months,” Van der Merwe said.
“We always that we would get those cash flows, but to get them upfront is much better for any business valuation.”
He said that there were very few businesses that had tailwinds during this pandemic, but Rain was most definitely one of them.
Watch the full Business Talk interview with Johan van der Merwe below.