Quantum Global Africa Mezzanine LP, an investment fund managed by QG Investments Africa Management Ltd. (QGIAM), has announced the establishment of a Power Development Company, QG Power Africa (QGPA) for the development of power assets across sub-Saharan Africa. This development is in partnership with Tomé International Ltd. (Tomé) and Independent Power Corporation PLC (IPC).
“The joint venture arrangement of QGPA is based on an exceptional match of capabilities and expertise of the involved parties to conceive and develop power projects across the sub-Saharan region,” Milko Skoro, Managing Director, Head of Structuring Quantum Global said while welcoming this partnership and the launch of QGPA.
What you need to know about the investment
- QG Africa Mezzanine LP will support this joint venture as strategic investor;
- Tomé will be responsible for project management and
- IPC for the development of the power assets.
- The joint venture has been set up to develop power plants across countries in the sub-Saharan Africa region in the first phase focusing on Angola, Botswana, Mozambique, Uganda, Nigeria, Kenya and Ghana.
- QGPA will expand its development capabilities to meet Africa’s fast-growing demand for power.
“Tomé and IPC’s track record and the newly created platform for further growth were highly attractive to QG Africa Mezzanine LP. We look forward to contributing to close the infrastructure gap and support national growth plans with successful power assets in a number of African markets,” said Milko Skoro
According to a statement from Quantum Global, the rationale behind this investment, beyond generation of solid returns, is the infrastructure sector’s substantial potential for job and wealth creation and local supply chains that positively impacts national economies. Commercial infrastructure projects in sub-Saharan Africa currently show unparalleled potential and resilience against the perceived risks associated with the African continent.
It is worthy to note that QG Africa Mezzanine LP is a USD 250 million investment vehicle with attractive risk diversification across countries, sectors and underlying demand. The fund will explore investment opportunities for early stage, expansion and exit including Greenfield and Brownfield investments.