A consortium of investors has entered into a share purchase agreement to acquire a majority stake in the Kenya-based solar energy company Equator Energy Ltd. The consortium is made up of the Mauritian energy and financing specialist IBL Energy and the French impact investor STOA.
IBL Energy, the fully-owned subsidiary of the IBL Group, has partnered for the first time with STOA, the impact fund set up by the French Development Agency (AFD) & the French institutional investor CDC. The consortium is going to acquire the majority stake in Equator Energy from the Africa-focused investment firm Maris Ltd and the solar energy company Nvision Ltd.
IBL Energy is the lead investor in the transaction, but the investment value is yet to be disclosed. According to IBL Energy, the completion of majority share acquisition is subjected to the fulfillment of certain conditions precedent and it also includes the obtention of necessary legal and regulatory approvals.
Equator Energy operates a portfolio of commercial and industrial (C&I) solar power projects with a total capacity of 35 MW in East Africa, mainly in Kenya and Uganda. It also has smaller operations in Gambia, Somalia, South Sudan, and Zimbabwe. The renewable energy firm offers solutions including simple grid-tied PV systems, solar-diesel hybrid systems, autonomous off-grid systems, etc.
Sebastian Noethlichs, CEO and Founder of Equator Energy said, the expertise, capacity, and industry experience of the new investors will strengthen their growth trajectory. Equator Energy will continue to deliver innovative solar solutions to its existing base of customers, as well as expand its reach to new customers in the future.
Marie-Laure Mazaud, CEO of STOA, said their investment will provide affordable electricity required to continue industrialization in Kenya. The partnership with IBL is aligned with their common goal to be a pioneer in the energy transition in the countries in focus in Sub-Saharan Africa.