More funding for South Africa’s clean energy transition
South Africa: UK Climate Investments has committed $19.8 M (£15 M) funding to support Revego Africa Energy Limited’s (Revego) long-term growth.
Image for illustration purposes.
South Africa: UK Climate Investments has committed $19.8 M (£15 M) funding to support Revego Africa Energy Limited’s (Revego) long-term growth.
This will help mobilise further private finance flows in support of South Africa’s clean energy transition.
Working alongside Investec Bank Limited as well as Eskom Pension and Provident Fund, UK Climate Investments (UKCI) made an initial commitment of approximately $31.8 M earlier this year to help establish Africa’s first dedicated renewable energy yieldco, managed by fund manager Revego Fund Managers. UKCI’s additional commitment will support the further growth of the yieldco as it scales up with a view to listing in the public market at the right time and further reduce emissions.
Revego helps complete the investment ecosystem for new clean electricity generation capacity by acquiring equity in operational renewable energy projects across South Africa. This helps developers unlock and subsequently recycle capital into new electricity generation and capacity projects, while also providing an attractive, green asset class for institutional investors.
“UK Climate Investment’s latest investment is a vote of confidence for the strength of our current portfolio and the potential for South Africa to become a renewable powerhouse. The new funding helps position us to achieve our target of doubling Revego’s assets under management in the next 12-18 months,” said Chief Investment Officer of Revego Fund Managers Ziyaad Sarang.
Source: ESI Africa
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