Global pan-emerging market investor, Actis, announced on Monday that it has sold its stakes in power generating firms across Africa to Norfund and CDC for $227million. Actis, which sold its stake in Globe Globeleq, was advised on this move by investment advisors, Goldman Sachs, amidst Africa’s economic growth and power demand.
Over the past years, Actis has invested over $350m in power generating projects and has more than doubled its installed capacity to 1234MW. Globeleq Africa manages electricity-generating assets including spanning gas, heavy fuel oil (HFO) wind and solar technologies across Cameroon, Tanzania, Cote d’Ivoire, Kenya and South Africa.
Major milestones achieved during Actis investment in Africa’s power generation
Actis was able to complete Azito power plant conversion in Cote d’Ivoire from an open cycle to a combined cycle technology on time and below the budget. This conversion increased the plant’s installed capacity by almost 50 percent and this has significantly contributed to the stability of Côte d’Ivoire’s power sector.
They also successfully backed the construction of three renewable energy generation assets with a combined capacity of 238MW under the first round of the ambitious South African Renewable Energy Procurement Program.
In November 2014, Actis Energy was positioned as an emerging electricity giant across Africa, when it acquired two gas-fired thermal electricity plants in Cameroon–the Kribi Power Development Co. (KPDC) and the Dibamba Power Development Co. (DPDC).
Actis known as ENEO in Cameroon, also bought a 56% stake in Cameroon’s state-run electricity firm, Societe Nationale d’Electricite, from U.S. energy giant AES Corp. (AES) for $100 million.
Deals in Africa this year
In September this year, Actis bought a significant minority stake in South African furniture retailer, Coricraf. It also sold a majority of its shareholding investment in leading Nigerian mattress brand, Mouka Limited (Mouka) to Abraaj, a private equity investor in July.
Actis investments in Nigeria
Actis has invested immensely into various sectors in Nigeria such as hospitality, retail and banking. So far, its investment in Nigeria is over $300million. This year the company was named the most impactful private equity firm in Nigeria by the Lagos Chamber of Commerce and Industry (LCCI). Some of its investments in Nigeria include Heritage Place, Ikeja City Mall, Vlisco Group, UAC of Nigeria Plc, Diamond Bank, Jabi Lake Mall Abuja and The Palms Lekki.
