Actis-owned company Globeleq has completed the sale and transfer of Globeleq Africa, the leading power generation platform in Africa, to a company owned by Norfund, the Norwegian investment fund for developing countries, and CDC Group, the UK government’s development finance institution.
Norfund acquired a significant minority stake (30%) in Globeleq Africa for a final cash consideration of $227m. 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, Actis has invested over $350m in Globeleq Africa. As a result, Globeleq Africa has more than doubled its installed capacity to 1,234MW and the business is now the leading power generation platform on the continent.
Sherif Elkholy, Director at Actis Egypt said: “We are looking forward to investing in Africa’s energy sector, and Egypt is a key part of our strategy. Lekela Power (pan-African renewable power company controlled by Actis) is currently preparing site works and studies for a solar power plant in Aswan and a wind power plant in West Gulf of Suez; in addition to competing over a 250MW wind power plant in Gabal El Zeit under the BOO programme, for which Lekela Power has submitted the lowest overall tariff of 3.961 USD cents per kWh.”