Norfund acquired a 30% stake in Globeleq Africa for a final cash consideration of US$227 million. CDC, which already held a majority indirect investment in Globeleq Africa via the Actis Infrastructure 2 fund, transferred its interest into the new company owned jointly with Norfund.
Globeleq Africa manages electricity-generating assets across Cameroon, Tanzania, Cote d’Ivoire, Kenya and South Africa, spanning gas, heavy fuel oil (HFO) wind and solar technologies. During the past seven years, through Globeleq, Actis has invested over US$350 million in Globeleq Africa. As a result, Globeleq Africa has more than doubled its installed capacity to 1,234 MW.
Key milestones during Actis’s investment in Globeleq Africa have included the completion, on time and below budget, of the Azito power plant conversion in Cote d’Ivoire from open to combined cycle technology.
Globeleq Africa also successfully backed the construction of three renewable energy generation assets with a combined capacity of 238 MW under the first round of the ambitious South African Renewable Energy Procurement Program. The next growth milestone will be the expansion of the Kribi generation plant in Cameroon, currently in advanced development and expected to reach financial close later in the year.
Torbjorn Caesar, Actis Senior Partner stated:
“We are proud of what we have achieved over the past decade in terms of creating a much needed energy infrastructure in Africa. We are confident that CDC and Norfund, working as direct investors with Globeleq Africa’s management team, can successfully continue that work.”