MOBILIST’s exit represents the biggest trade in InfraCredit’s shares since its listing by introduction on Nigeria’s NASD OTC Exchange Plc (NASD) in April this year.

The transaction enabled five domestic institutional investors, pension funds and insurers, to take up shareholding in InfraCredit. Four of these funds did not participate in the initial listing.

InfraCredit is Nigeria’s first and only domestic creditor guarantor, issuing Naira-denominated guarantees that help to mitigate risk for investors and improve the creditworthiness of Nigerian infrastructure debt instruments.

These guarantees enable Nigerian institutional investors to invest in instruments used to finance infrastructure projects.

The UK’s Foreign, Commonwealth, & Development Office (FCDO), through MOBILIST, invested NGN9.5 billion ($6 million) in Infracredit’s listing, which saw the company raise a total of ₦27 billion (US$17.7 million) after attracting investment from two local pension funds.

The listing broadened InfraCredit’s domestic institutional shareholder base and gave the company access to new sources of capital, expanding its capacity to provide guarantees for new infrastructure projects.

The secondary sale of MOBILIST’s shares extends this impact, offering liquidity to untapped buyers who are natural long-term private sector equity holders but who did not participate at the initial point of listing.

Following the secondary sale, Nigerian pension funds will collectively own more than 27% of InfraCredit’s ordinary equity, reinforcing domestic institutional ownership and governance of a strategically important financial institution, alongside the public sector capital (including the UK) which remains invested in the company.

Mr Jonny Baxter, British Deputy High Commissioner (Lagos), said:

“The UK consistently prioritises transformational investments that unlock commercial markets. InfraCredit is one such example, an indigenous guarantee platform which is now attracting Nigerian institutional investors. To date, InfraCredit has facilitated over ₦300 billion in financing, valued at more than $500 million equivalent indexed at issuance, in support of infrastructure development across Nigeria. We’re excited to see this momentum continue to grow, driven increasingly by domestic capital and delivering strong returns to Nigerian investors. A win-win where more infrastructure is built to support Nigerian businesses, and more value returned to Nigerian stakeholders.”

Mr Chinua Azubike, the CEO of InfraCredit, said:

“This secondary transaction is a proud milestone for InfraCredit and for Nigeria’s financial markets. It reinforces our long-term ownership vision that catalytic foreign investment can pave the way for sustained domestic institutional participation at scale. We are delighted to welcome four new Nigerian pension funds to our ownership base, a reflection of deepened market confidence and the growing role of local investors in financing Nigeria’s sustainable future.”

Mr Ross Ferguson, MOBILIST programme lead within FCDO, said:

“MOBILIST’s investment in InfraCredit proved the potential of using public markets to mobilise private – and importantly – local investment in sectors driving sustainable development and growth. The programme’s exit only reinforces this potential and highlights how innovative development finance can generate impact beyond an initial investment by contributing to the creation of deeper, more liquid capital markets while recycling capital for future investments.”

InfraCredit has also benefited from technical assistance, and catalytic investments facilitated by MOBILIST, Financial Sector Deepening Africa (FSDA), British International Investments (BII), the Private Infrastructure Development Group (PIDG), and FCDO-Nigeria.

These contributions have played a critical role in de-risking local investments and mobilising domestic institutional capital towards green infrastructure projects.

The UK remains committed to partnering with Nigeria to develop its local capital markets, including through MOBILIST’s continued partnership with the Nigerian Exchange (NGX) to enable greater investment toward sustainable development through listed products.

The programme remains open to applications for technical assistance and catalytic equity investment toward initial public offerings (IPOs) and the development of new listed products.

• The Helios Climate, Energy Access, and Resilience (CLEAR) Fund has achieved its first close.
• CLEAR Fund has secured approximately US$200 million in anchor investment from eight leading institutions.
• This includes investment from PIDG company InfraCo Africa, the Foreign, Commonwealth and Development Office (FCDO), and British International Investment (BII).
• CLEAR aims to become the largest Africa-focused climate fund with a target size of US$400 million.

Catalytic backing from the United Kingdom has enabled the Helios Climate, Energy Access, and Resilience (CLEAR) Fund to raise approximately US$200 million in its first close for investment in African businesses focused on climate mitigation and adaptation.

The Fund, managed by Helios Investment Partners, intends to become the largest Africa-focused climate fund with a target size of US$400 million.

Following initial catalytic backing by PIDG company InfraCo Africa and the UK’s FCDO, through the MOBILIST programme, a further six leading climate investors committed to anchor CLEAR’s first close.

Among them are:

• British International Investment, the UK’s development finance institution and impact investor
• The European Investment Bank
• The Emerging Markets Climate Action Fund, advised by EIB and managed by Allianz Global Investors
• The Dutch Development Bank
• The Swiss Investment Fund for Emerging Markets, advised by ResponsAbility Investments AG

Helios, which is the largest Africa-focused private investment firm, will begin investing the capital with immediate effect. The Fund’s ambition is to support and scale African climate champions.

It will focus on five key areas: 

• Green energy solutions
• Climate-smart agriculture & food
• Green mobility and logistics
• Recycling and resource efficiency
• Digital and financial climate enablers

Research commissioned by MOBILIST shows that sub-Saharan Africa’s renewable energy market already represents a potential investment opportunity of $193 billion by 2031. Despite the scale of the opportunity, the International Renewable Energy Agency estimates that Africa currently attracts only 3% of global energy investment.

Anneliese Dodds, UK Minister for Development said: 

“This Government is determined to restore the UK’s reputation as a world leader on climate. We need to act now to avoid further environmental devastation that will fuel illegal migration, conflict, and famine across the world. The UK-supported CLEAR Fund is a first of its kind to invest in mid-sized African companies seeking to avoid and reduce carbon emissions, helping people to become more resilient and to adapt to the climate crisis. It is a great example of how UK innovation is helping to mobilise climate finance for Africa, enabling businesses on the continent to deliver climate-friendly solutions. It’s one more step towards realising our mission of a world free from poverty on a liveable planet.”

Gilles Vaes, Chief Executive Officer at InfraCo Africa (PIDG), said: 

“Today’s announcement marks a key milestone for CLEAR – a Fund conceived by PIDG company InfraCo Africa, through its investment arm InfraCo Africa Investment Ltd, and Helios Investment Partners, with support from ThirdWay Partners and FCDO’s MOBILIST. It is also a watershed moment for African growth businesses – and the associated infrastructure – seeking to address the climate crisis. CLEAR will unlock much-needed access to finance and exit routes for climate entrepreneurs whilst giving investors comfort that their investments will generate the growth they expect and support global efforts to address climate change, in line with the PIDG strategy, which was launched in 2023.

Christopher Chijiutomi, Managing Director and Head of Africa at BII, said: 

“We are delighted to once again partner with Helios Investment Partners to support the growth of African companies. As the UK’s development finance institution, this investment also reinforces BII’s commitment to supporting Africa’s green transition. Mobilising much-needed private capital into green sectors through this Fund will help to drive innovation and create new opportunities, contributing to a resilient and prosperous future for Africa.”

Ross Ferguson, who leads the MOBILIST programme at the FCDO said: 

“Africa must overcome a significant climate financing gap to realise its climate transition and MOBILIST will act wherever there are opportunities to unlocking climate and development finance, including through faster reform of the global financial system. As such, FCDO, through MOBILIST, is proud to partner with Helios Investment Partners, one of Africa’s foremost private equity managers with deep expertise in creating secondary market liquidity for investors in Africa, including through Helios Towers and Vivo Energy. Joining MOBILIST and InfraCo Africa Investment Ltd, a powerful consortium of development finance practitioners is now anchoring this landmark fund to mobilise commercial capital toward addressing Africa’s climate mitigation and adaptation needs.

Nigeria’s capital market can help contribute to the delivery of the country’s economic goals, including the ambition to transition to clean energy solutions, but needs around USD10 billion in financing per year to meet the Sustainable Development Goals (SDGs) by 2030.

At two MOBILIST events hosted by the Nigerian Exchange Limited (NGX) and the British Deputy High Commission (BDHC) in Lagos today, the UK underlined its commitment to work with Nigeria to enable private capital mobilisation at scale.

The events in the Nigeria’s financial hub brought together stakeholders from across the finance community, including representatives of the Securities and Exchange Commission (SEC) and pension fund industry, to discuss opportunities to solve some of the principal barriers to increasing investment in the SDGs via public markets.

This week’s events come after former UK Foreign Secretary James Cleverly’s visit to Nigeria last year and his participation in the launch of the partnership between MOBILIST and NGX intended to catalyse greater investment in the SDGs via new investment structures listed on the exchange.

MOBILIST provides investment capital in the form of equity as well as technical assistance to overcome barriers and enable the listing of pioneering products that can mobilise institutional capital at scale to deal with the twin challenges of development and the climate transition.

MOBILIST also offers extensive research and policy advocacy support to highlight obstacles and enhance the environment for issuers, investors, and intermediaries.

According to the Organisation for Economic Co-operation and Development (OECD), the African continent needs additional financing of about USD194 billion annually to achieve the Sustainable Development Goals by 2030.

Closing this financing gap cannot be achieved without mobilising private investment at scale and enhanced collaboration between capital market stakeholders, multi-lateral development banks, development finance institutions and policymakers.

Jonny Baxter, the British Deputy High Commissioner while delivering his remarks at the event, said:

“The UK government is committed to supporting Nigeria in the continued development of its capital market to help deliver the country’s economic goals, including its ambitions to transition to clean energy solutions.

“A liquid and well-regulated capital market benefits the entire economy by enabling companies to raise capital to fund their expansion, which in turn helps deliver crucial development, job opportunities and improved incomes.

“MOBILIST’s focus on stimulating the creation of innovative listed products can make a unique and impactful contribution to achieving these objectives.”

In his goodwill remarks, the Chairman, NGX, Ahonsi, Unuigbe, highlighted the need for addressing barriers hindering public listings through collaborative discussions.

In his words:

“The discussions we have today are crucial as we address barriers hindering public listings and explore actionable solutions. By overcoming these obstacles, we can unlock the full potential of our capital market, enabling more businesses to access the funding they need to grow and thrive. Some of these obstacles are significant such as regulatory challenges, high listing costs, and market volatility.

He added, “An enhanced and efficient listing process will democratise access to capital, nurturing a vibrant entrepreneurial ecosystem, particularly businesses dedicated to the achievement of Sustainable Development Goals (SDGs), can flourish.”

Ross Ferguson, MOBILIST Programme Lead at the FCDO, said:

“MOBILIST is the expression of the UK’s conviction that public markets have a underutilised but potentially critical role in financing sustainable development at scale by mobilising private capital to flow where it is needed most – to the firms that are going to contribute most to solving developmental challenges and help deliver a fair and orderly climate transition for Nigeria.

“We are committed to deepening our relationships in the Nigerian market as we seek to help position Nigeria’s capital markets at the forefront of these efforts.”

While delivering the welcome address, the Ag CEO of NGX, Jude Chiemeka, emphasized the impact of the partnership with MOBILIST. He stated:

“Our partnership with MOBILIST is geared towards advancing market efficiency, sustainability reporting, and integrating Environmental, Social, and Governance (ESG) principles. This event represents a significant milestone in our ongoing efforts to enhance the performance and deepening of Nigeria’s capital market by promoting sustainable capital flows and enhancing listing diversity.

The discussions from today are poised to yield actionable insights on how we can collectively catalyse economic growth through the capital market. By harnessing the potential of our capital market, we can unlock new opportunities for funding businesses, fostering entrepreneurship, and ultimately driving sustainable development across Nigeria”.