African Infrastructure Investment Managers or AIIM has taken stakes in nine new solar and wind power plants in South Africa. The equity deal, which is being transacted on behalf of AIIM’s IDEAS Managed Fund, sees the infrastructure-focused private equity manager acquire a 50.01% stake in each of the projects, which, when fully operational, will provide an additional 800MW of renewable energy capacity to South Africa’s national power grid. The investments form part of the fourth round of the South African Government’s REIPPPP Program, and help consolidate AIIM’s position as the leading equity investor under the program. In 2017, AIIM-backed assets generated 25% of the clean energy supplied to the country’s national grid.
“The new plants will provide essential clean energy to the grid which, in addition to environmental benefits, will help boost economic growth by creating jobs in construction and follow-up operations and maintenance,” commented Sean Friend, an Investment Director at AIIM, adding that “We are looking at almost R9 billion (or approximately $630 million at current rates) in total capital expenditure across these power projects, where IDEAS is the main Sponsor.”
To read this article, you must be a paid subscription member. (Current members login here
Reserve your digital subscription today
Join now for $35 per month
Join now for $395 per year
for access to:
- Weekly newsletter with original and curated news, analysis and perspective
- Africa’s private capital deals, fund raises and the investment firms and executives involved
- Portfolio company news that impacts value and stakeholder participation
- Job moves and partnerships between leading market participants
- Exclusive access to Africa Capital Digest’s full content archive
If you’d like more information on exceptional value group subscriptions for your colleagues and teams, please contact Teresa Hall at thall[at]africacapitaldigest.com today.