• Sun King closes a $156 million (KES equivalent) securitisation, the largest and first majority commercial-bank-backed deal of its kind in Sub-Saharan Africa outside South Africa.
• Backed by private capital from Absa Bank Kenya, Citi, The Co-operative Bank of Kenya, KCB Bank, and Stanbic Bank Kenya.
• The new deal is expected to finance approximately 1.4 million solar products and smartphones in Kenya.

Sun King, the world’s largest off-grid solar energy company, has closed a landmark $156 million (KES 20.1 billion) securitisation to scale affordable solar across Kenya.

The local currency deal will enable an estimated 1.4 million low-income households and businesses to access electricity, often for the first time, and shift away from costly, polluting fuels like kerosene and diesel.

This is Sun King’s second and largest Kenyan-Shilling-denominated securitisation. The deal is the largest securitisation ever completed in Sub-Saharan Africa outside South Africa.

Arranged and structured by Citi with Stanbic Bank Kenya Ltd (part of the Standard Bank Group) acting as the placement agent, the securitisation is backed by five international and local commercial banks and three development finance institutions. It builds on the company’s award-winning $130 million securitisation completed in 2023.

Sun King’s pay-as-you-go solar model allows households to access solar products by making small, flexible payments starting from as little as $0.19 (KES 25) per day through mobile money.

To date, Sun King has extended $1.3 billion in solar loans to almost 10 million individual customers across Africa.

The securitisation enables Sun King to raise long-term local currency debt by converting future customer repayments for financed solar products into investable assets.

“Millions of off-grid households have switched to solar thanks to small ‘pay-as-you-go’ loans. This deal signals a major turning point for green energy finance in Africa,” said Anish Thakkar, co-founder of Sun King. “It shows that African commercial banks believe in the power of pay-as-you-go solar and are ready to back it with serious capital. Return-seeking, local capital in local currency is essential to unlocking the scale and speed needed to achieve universal energy access.”

The transaction includes:

• A senior tranche funded by five commercial banks: Absa Bank Kenya Ltd, Citi, The Co-operative Bank of Kenya, KCB Bank Kenya Limited, and Stanbic Bank Kenya Ltd; and
• A mezzanine tranche provided by development finance institutions: British International Investment, the Dutch development bank FMO, and Norfund, the Norwegian Investment Fund for developing countries.

Both senior and mezzanine tranches have been privately rated by a credit ratings agency. The funds are raised under Sun King’s Sustainable Financing Framework, which received a Second Party Opinion (SPO) from Moody’s Investor Relations, earning a Very Good (SQS2) score. The securitisation is a private offer in line with Kenya’s capital market regulations.

To date, an estimated 30% of Kenyan homes have access to Sun King solar. With this new funding, solar access is expected to grow significantly.

The new securitisation is expected to deliver loans that enable the purchase of approximately 1.4 million solar products and smartphones in Kenya.

Together with Sun King’s 2023 securitisation, the two transactions will help deliver an estimated 3.7 million solar products and smartphones.

This second securitisation is part of Sun King’s broader effort to raise local currency capital across Africa. So far, Sun King has raised $450 million across Kenya, Nigeria, and Tanzania.

The securitisation shows how appropriate financial tools can mobilise local private capital to solve local challenges, such as energy access and the just transition.

“This securitisation demonstrates the effectiveness of pay-as-you-go business models to reach underserved communities at scale and the role of development finance institutions to mobilise private capital,” said Jorge Rubio Nava, Citi’s global head of Social Finance. “Over the last few years, we’ve successfully partnered with Sun King to develop innovative financial tools that bring sustainable and affordable energy solutions to millions of households across Kenya and beyond.”

The IEA reports that Kenya is one of the few Sub-Saharan African countries on track for near-universal electricity access by 2030, with standalone, distributed rooftop solar playing a central role.

The transaction supports the goals of Mission 300, the World Bank- and African Development Bank-led initiative to connect 300 million people in Africa to electricity by 2030, which recognises that mobilising local capital is critical to achieving that target.

This securitisation is a key example of how return-seeking local finance can help scale clean energy access sustainably.

The investment will finance a new plant for the recycling of PET bottles for use in new bottles locally and in Europe. The plant will be located in Ogun state in Nigeria and will have a capacity of 12 000 tons per year.

“By Showcasing A Functioning Model, We Can Enable The Development Of An Industry That Is Crucial In Tackling The Challenges Of Plastic Pollution While Creating A Large Number Of Jobs,” Says Carl Johan Wahlund, Senior Vice President For Green Infrastructure At Norfund.

Combating Plastic Pollution

More than 171 trillion pieces of plastic are now estimated to be floating in the world’s oceans, an increase from 16 trillion pieces in 2005, and it could further nearly triple by 2040.

Systems for the collection of plastic are crucial in tackling plastic pollution. Establishing these with incentives and a commercially sound model across the value chain is however complicated even in many high-income countries, and still more challenging in developing countries, where waste regulation and enforcement of extended producer responsibility is lacking.

“Wecyclers has managed to establish a model in one of the more difficult areas of the world, with its own collection both directly from households and via kiosks and franchises, combined with a close collaboration with a European plastic producer which will serve to ensure that both the process and the output quality meets highest international standards”, says Carl Johan Wahlund, who heads Norfund’s Green Infrastructure investment area.

Contributing to a Circular Economy

Serioplast, a leading plastic packaging manufacturer headquartered in Italy has been a minority shareholder in Wecyclers since 2018. Recently, Unilever Nigeria and Bridges Outcomes Partnership also provided Wecyclers USD 2 million in financing to support the expansion of its collection network.

The financing was provided using an innovative “Development Impact Bond,” expected to support the collection of up to 30,000 tons of recyclable plastic waste and create up to 700 jobs in the next 5 years.

“With these new partnerships, Wecyclers is well positioned to contribute to a truly circular economy where we continue to create more value, support the women and small businesses we work with to increase their income and help build more resilient, healthy, and sustainable communities in the cities where we operate”, says Olawale Adebiyi CEO of Wecyclers.

“While this plant only tackles a small part of the problem, showcasing a functioning model will gradually enable the development of an industry and the promotion of a culture of waste management. We see Wecyclers as our first of many investments in the recycling sector”, says Wahlund.

OH Ecosystems Ltd (“Eco”) builds and operates cocoa processing and confectionery businesses on the African continent. Eco has successfully acquired a majority stake in FTN Cocoa Processors PLC (“FTN”)—a publicly traded company based in Ibadan, Nigeria. 

With 20,000 metric tons of installed capacity, FTN transforms cocoa beans into semi-finished products (cocoa liquor, butter and powder) for commercialization to global and local clients. Prior to this investment, FTN had been dormant and underutilised for several years.

Norfund’s investment will upgrade FTN’s operating facilities and extend its reach to produce and sell additional products into the cocoa supply chain.  Eco is supported by established leaders in the global cocoa chain including Niche Cocoa Industry Ltd, Africa’s largest indigenous cocoa processor, who will serve as technical partner.

Increasing the share of cocoa processed locally  

At 4 million metric tons per year, West Africa produces more than 75% of the world’s cocoa.  In 2021 Nigeria produced 290,000MTs, ranking 4^th behind Cote d’Ivoire, Ghana, and Cameroon.  Unfortunately, more than 70% of West Africa’s cocoa is exported as raw material with no significant value addition. 

Norfund’s investment directly supports the increase of local, value-added transformation leading to quality job creation, local tax revenues, and foreign exchange for West Africa’s cocoa-producing countries.  The investment furthers Norfund’s strategy to help create sustainable, scalable businesses in Sub-Saharan Africa that promote value addition at origin. 

“Increasing the share of raw materials that are processed locally can create a large number of jobs that give the fast-growing population of Nigeria the opportunity to work their way out of poverty, and we are confident that this investment can contribute to this,” says Obafemi Awobokun, Investment Manager at Norfund.

“We are thankful for Norfund’s partnership as we focus on building out value-add production in Nigeria.  Having partners who are aligned over the long-term on both the financial and social impact of our work is extremely important. 

Together, we can contribute to Nigeria’s agricultural manufacturing with a focus on financial sustainability for farmers in the value chain.”  says Nathaniel Durant, Managing Director of Eco.

“This is a strategic alliance come through that will help FTN sew up her pursuit of conversion of cocoa beans, job creation, contribution to the economic diversification goals of the government, delivering value to stakeholders and actualising the vision of being a global player” says Akin Laoye, Managing Director of FTN.

Norfund’s investment will help create both technical and non-technical employment directly for 600 people and indirectly for more than 1,500 across the cocoa value chain.  The investment also contributes towards the Nigerian government’s efforts to diversify export revenues by reducing its reliance on oil and gas.

Contributing to tackle challenges in the value chain 

The cocoa sector faces challenges related to working conditions and the use of child labour, as well as environmental concerns. Norfund is committed to supporting companies that seek to operate in a sustainable manner, in sectors with challenging dynamics.

As part of the partnership, Norfund will support Eco’s efforts in establishing a sustainable supply chain through its farmer empowerment programme dubbed ‘EcoWise’. The programme seeks to address farmer poverty, which is one of the root causes of child and forced labour in the cocoa value chain. 

Eco has partnered with industry experts to establish a farmer-focused program that ensures fair compensation, improved extension services, and training for farmers working with Eco’s operating units.  The program has been previously piloted in Ghana. 

“The cocoa sector is a very important one for Nigeria and West Africa and could be a key one in the push to diversify Nigeria’s revenue sources. By partnering with this management team which has deep sector experience in West Africa, a strong technical partner, local investors and current owners, we aim to contribute positively to this effort.

This investment also presents us the opportunity to partner with these stakeholders to increase local processing of cocoa beans and thus capture more of the value chain dollars at origin, to create jobs and to positively impact the fight against child and forced labour and deforestation in this important value chain,” says Naana Winful Fynn, Regional Director for West Africa for Norfund.  

The exclusive forum and luncheon held at Lagos Continental Hotel announced Norfund’s intention to increase investments in Nigeria and the West African region with the aim of driving development through investments in the private sector, and creating jobs.

Owned and funded by the Norwegian government, Norfund is the government’s most important instrument for strengthening the private sector in developing countries, by providing capital through its investments, whilst creating jobs and improving lives.

The fund, which was established by the Norwegian Parliament in 1997, is focused on driving sustainable development with capital in the form of equity, debt and hybrid instruments, and fund investments to businesses and projects with strong developmental impact and commercial returns.

As a responsible investor, Norfund contributes to the achievement of the United Nations’ Sustainable Development Goals by investing for both commercial return and development impact and focusing on countries and sectors where capital is scarce and development impact is likely to be strong.

Giving the opening remarks, Eivind Fjeldstad, Business Counsellor, Royal Norwegian Embassy in Abuja, who represented His Excellency Knut Eiliv Lein, the Ambassador of Norway to Nigeria, said, “Set to become the world’s third most populated country, Nigeria is Norway’s most important market on the African continent as we believe that there is a huge opportunity for growth in Nigerian industries.

We are impressed by the measures taken by the government to strengthen the startup community especially, as underlined by The Startup Act signed by President Muhammadu Buhari in October.

Moreover, Norway is in the process of updating its African strategy and I’m proud that the Norway-Nigeria relations reflect this with business and investments taking centre stage. We thank Norfund for its role in strengthening Nigerian-Norway relations in the most meaningful way.”

In her remarks, Ellen Cathrine Rasmussen, Executive Vice-President, Scalable Enterprises, Norfund, spoke about Norfund’s mandate to assist in building sustainable businesses and industries. She said, “At the core of Norfund’s operations is the mission to create jobs, improve lives, and invest in sustainable businesses.

Operating within the framework of the Ministry of Foreign Affairs which we are a part of, we are able to set our strategy, make investment decisions, and remain agile whilst adapting to market opportunities. Africa is the most important region for Norfund.

A minimum of 50% of investments we commit to are on the continent because it is the market of the future. We not only support the companies we invest in but also nurture the entire ecosystem as its collective strength will enable us to aid Nigeria in sustainable growth.

Nigeria is of key importance to Norfund due to its strategic geographical placement, young and vibrant population, and its ever-growing economy. Norfund is here to contribute to realizing this growth potential”.

Norfund’s Regional Director for West Africa, Naana Winful Fynn, highlighted, “Norfund looks to add value outside of its provision of investment capital in many ways, including supporting companies to institutionalize by developing on the governance, risk management and systems and processes fronts; by supporting companies in the realization of their strategic plans and by providing businesses with technical assistance”.

The event also included a panel session with the topic – “Value Addition in Challenging Markets”. Moderated by Obafemi Awobokun, Investment Manager at Norfund, it featured key speakers including Ebele Enunwa, CEO, Sundry Foods; Abiola Ojo-Osagie, Senior Partner and Managing Director, AfricInvest; Nathaniel Durant, Group Director, OH Ecosystems; Nieros Oyegun Soerensen, Partner, Verod; and Femi Adeyemo, CEO, Arnergy Solar Limited.

With a total investment portfolio of USD 3.1 Billion, Norfund focuses on sub-Saharan Africa alongside South-East Asia and Central America.

The fund invests directly in the renewable energy, financial inclusion, green infrastructure, and scalable enterprises (agribusiness and manufacturing) sectors, alongside investments in private equity, venture capital, and other funds.

Beneficiaries of its investments in Nigeria include Sundry Foods, a food services company that provides good-quality meals through its chain of Kilimanjaro restaurants; Arnergy, a Cleantech company offering sustainable solar solutions for productive use in Nigeria; OH Ecosystems which was established to build and operate cocoa processing and confectionery businesses across Africa; and Starsight, a commercial and industrial solar power supplier in Nigeria and Ghana.

Furthermore, Norfund has made loans to FCMB Bank and Access Bank (Ghana and Nigeria). It is also an investor in several funds investing in Nigeria, including funds managed by Verod Capital, AfricInvest, Development Partners International, Helios, Novastar Ventures, European Financing Partners, Inspired Evolution, and responsAbility.

Other investee companies in the region include CBI Ghana, Valency CIV, Nouvelle Mici Embaci (NME), Aktivco and Baobab+. Norfund is also a lender to several banks in the region, including Ecobank Transnational Incorporated (ETI), First National Bank Ghana, and CAL Bank.

The stakeholder event further showcases Norfund’s commitment to supporting businesses in the private sector that drive sustainable economic growth in sub-Saharan Africa. Norfund also reaffirmed the strategic importance of Nigeria to its operations, as a result of its large and vibrant population, economic prospects, and vast pool of strong and resilient entrepreneurs

British International Investment (BII), the UK’s development finance institution (DFI) and impact investor, and Stanbic Bank Kenya (“Stanbic”), a member of the Standard Bank Group, have made commitment to Sun King, a leading off-grid solar energy company, through a $130 million funding round and a joint $20 million working capital facility.

Targeting further expansion, Sun King is backed by prominent DFIs and commercial lenders, including Absa, BII, FMO, Norfund, Stanbic Bank Kenya, the Trade and Development Bank (TDB), and Citi.

These two complementary commitments will enable the purchase of more inventory such as solar home systems and solar lanterns, and facilitate customers’ access to new solar products via credit, securitised and funded by investors – catalysing company growth.

To date, Sun King has powered the lives of over 100 million people. These investments will accelerate Sun King’s ability to equip more Kenyan households and businesses with green, reliable and modern energy.

The entirely Kenyan-Shilling-denominated securitisation deal provides a $130 million capital boost to Kenya’s off-grid solar energy sector and leverages Sun King’s share of the market – extending access to pay-as-you-go solar home systems and energy efficient equipment for underserved customers across the country.

Approximately half of Sun King’s registered pay-as-you-go customers in Kenya are women, most of whom access formal financing products for the first time.

Providing an additional $20 million working capital facility to support Sun King, BII and Stanbic maximise the company’s capacity to deliver more high-quality affordable products to an underserved market with rising demand.

Sun King designs, distributes, installs and finances modern solar energy solutions for individuals, households and businesses who cannot access, rely on, or afford traditional electric grid connections.

In Kenya, three out of every ten Kenyans live without access to electricity. The facility will allow Kenyan households and businesses to transition to clean, reliable and affordable solar energy and appliances.

Growing with early-stage funding provided by DFIs, including BII, Sun King is the world’s largest off-grid solar energy company.

In 2022, the company closed a $330 million Series D equity round of funding, with participation from private equity investors General Atlantic, M&G and Leapfrog.

Over the years, as Sun King’s reach has expanded, BII and Stanbic Bank Kenya’s financing has evolved in tandem, adopting a flexible, patient, and long-term approach to lending.

Anish Thakkar, Co-Founder, Sun King said: “For many years, British International Investment and Stanbic have been invaluable partners in Sun King’s mission to equip underserved consumers with clean, renewable energy. Today, one in five Kenyans use Sun King products for light and power. British International Investment and Stanbic’s investment propels us forward, allowing Sun King to meet the ever-evolving energy demands of Kenyan customers and to better serve those overlooked by traditional energy systems.”

Geoffrey Manley, Head of Energy Access and Efficiency, BII, said: 

“Once again, we are proud to support Sun King and are delighted to participate in BII’s third funding round to the company. Alongside other investors, we reinforce our shared commitment to mobilise climate finance, boost energy access and improve the quality of life of Kenyan households. These complimentary commitments bring more solar home systems to those living with no or limited access to traditional energy sources – supplying energy efficient solutions while unlocking more commercial capital to advance the development of the market.”

Rentia van Tonder, Global Head of Power, Standard Bank said: 

“Africa is well positioned to benefit from the green economy, and we are proud to have partnered with Sun King to facilitate this landmark transaction. It is another demonstration of the Standard Bank Group’s ongoing commitment to drive sustainable growth in Africa’s renewable energy sector. Our clients are looking at transitioning to net zero and fast-tracking renewable energy as a key value proposition, and as such we have prioritised sustainable finance as a way to unlock growth across African economies. As the largest bank on the continent, we have the local knowledge and a good opportunity to play a leading role to realise the possibilities presented by Africa’s longer-term structural trends.”

The joint commitment contributes to several of the United Nations’ Sustainable Development Goals (SDGs), including Affordable and Clean Energy (SDG 7), Climate Action (SDG 13) Decent Work and Economic Growth (SDG 8), Social Inclusion (SDG 10) and qualifies as part of BII’s contribution to the 2X Challenge.

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CDC Group, Norfund, Finnfund, FinDev Canada and BIO, a group of leading development finance institutions (DFIs) and impact investors, have announced an $82 million joint commitment to Phatisa Food Fund 2 (PFF 2), managed by Phatisa. 

PFF 2 will invest across the African food value chain, considering investments in mechanisation, inputs, poultry and meat production, food processing and manufacturing, logistics, aggregation and distribution across Sub-Saharan Africa.

The investment will strengthen and increase food supply, local production and distribution across the region.

A consortium of investors, consisting of CDC, Norfund, Finnfund, FinDev Canada, and BIO committed to the Fund’s final close, $30m, $20m, $15m, $10m and $7m, respectively. The Fund has reached a final close of $143m, bringing DFIs and commercial investors together to boost the supply of quality food in Sub-Saharan Africa – where an estimated 239 million people are affected by food insecurity.

The Fund, via its investment in companies in the food value chain, targets over 90,000 small-holder farmers and micro-entrepreneurs and aims to create over 2,000 permanent jobs and sustain another 10,000 jobs. The investment follows the success of Phatisa’s African Agriculture Fund (AAF), which has created more than 1,800 jobs and benefitted 86,000 farmers operating in over 20 markets across the continent.

Building on AAF, Phatisa Food Fund 2 will enable small-holder farmers and micro-entrepreneurs to develop their skills, broadening access to markets and economic opportunities. The new fund will also address access to, and affordability of products among farmers and promote smart agricultural methods – enhancing crop resilience, reducing food loss and waste by 50% in the companies it finances, while increasing outputs, yields and incomes.

The investment contributes to UN Sustainable Development Goals 1 (No poverty), 2 (Zero hunger), 8 (Decent work and economic growth), 5 (Gender equality), 12 (Responsible consumption and production) and 13 (Climate action).

Phatisa Food Fund 2 also qualifies for the 2X Challenge, which seeks to support businesses that provide women in emerging economies with access to leadership opportunities, quality employment, and products and services that enhance their economic participation and inclusion.

Clarisa De Franco, Managing Director & Head of Private Equity Funds, CDC said: “It’s great to see DFIs and commercial investors partnering to tackle one of Africa’s most pressing challenges. Small-holder farmers account for 60% of Sub-Saharan Africa’s population and the continent remains a net food importer.

According to the African Development Bank (AfDB), rapidly rising net food imports are expected to grow from $35 billion in 2015 to over $110 billion by 2025. By mobilising capital and investing in the food and agriculture value chain, we can drive tremendous impact, sustain employment and improve food security across the continent, while reducing reliance on imports.”

Stuart Bradley, Managing Partner, Phatisa said: “We are pleased to welcome this multinational group of investors to Phatisa Food Fund 2, a fund focused on increasing investment in the undercapitalised African agribusiness and food value chain. Development impact, without deviating from sound commercial principles, is at the heart of Phatisa’s investment approach. Over the Fund’s investment cycle and through its investments in talented and driven management teams, we aim to create shared value; inclusive and sustainable growth; and address social and environmental challenges impacting some of the most marginalised people in Africa.”

Olav Akrawi, Project Manager in Scalable Enterprises at Norfund said: “Norfund is happy to be part of this opportunity to invest in businesses that are expected to create a large number of jobs and increased business opportunities within the food production space across Sub-Saharan Africa. The Fund’s plans are aligned with Norfund’s strategy, directing its focus towards companies with strong financial prospects that will contribute to economic growth and improve the value chain in the food and agri-sector.”

Riikka Molander, Associate Director & Head of Funds, Finnfund said: “We are glad to participate in this fund with our fellow investors. Strengthening and increasing food supply, local production and distribution – enhancing food security and supporting small-holder farmers – is at the core of Finnfund’s mission. Particularly now, in the midst of the COVID-19 pandemic, it is extremely important to generate financing for agriculture and food production in the African continent.”

“Our support to Phatisa Food Fund 2 will help respond to some of the most important challenges facing Africa today,” said Paulo Martelli, Chief Investment Officer of FinDev Canada.

“Food insecurity is a major issue on the continent, compounded by the COVID-19 pandemic which threatens to push another 23 million African citizens into extreme poverty. Phatisa has shown what it can do to benefit small-holder farmers and the firms working with them while promoting rural livelihoods. We expect our investment in Phatisa Food Fund 2 to create sustainable benefits for many more people in Africa, as well as the companies where they work, shop, and do business with.”

“With our investment in Phatisa Food Fund 2”, says Carole Maman, Chief Investment Officer at BIO, “We want to increase food security in Africa by supporting sustainable food production in Africa for local markets and by helping African food value chains and companies grow. To achieve this, we look to the Phatisa Food Fund 2 to provide patient investment capital as well as technical and commercial assistance.”

The leading developer, owner, and operator of commercial and industrial renewable energy systems in Africa, will leverage this commitment to further the acceleration of its investments in renewable energy solutions for commercial and industrial businesses across Africa.

The $40 million commitment is a continuation of Norfund and KLP’s earlier investments in the C&I sector and endorses the scale and maturity of the distributed generation sector in Africa. The secured funding is in addition to $40 million in equity invested in CrossBoundary Energy by ARCH Emerging Markets’ Africa Renewable Power Fund in 2020.

CrossBoundary Energy provides tailored, fully financed renewable energy solutions to its corporate customers allowing them to avoid upfront capital expenditure and technical risks, whilst still benefiting from cheaper, cleaner, and more reliable power.

The renewable energy company is currently delivering a portfolio of $188 million in projects for 30 corporate customers across 14 countries in Africa, comprising 150 MWp of solar PV assets, 50 MWh of battery energy storage assets, and 12 MW of wind assets. CrossBoundary Energy is the renewable energy provider of choice for several market-leading companies present in Africa, including Unilever, Diageo, Rio Tinto, Heineken, and AB InBev.

Pieter Joubert, President and Chief Investment Officer, CrossBoundary Energy noted: “We are very excited to welcome Norfund and KLP as investors. Their commitment is aligned with our belief that the business sector across Africa should be able to benefit from cheaper, cleaner and more reliable power. This investment validates CrossBoundary Energy’s position as a trusted provider of customer-centric renewable energy solutions to the African business community. We look forward to drawing on Norfund’s significant experience as we seek to deliver an operational portfolio of over $300M in assets within the next 5 years.”

Kristoffer Valvik, Investment Manager, Norfund, said the investment firm believes that distributed renewables are playing a critical role in driving toward the clean and sustainable growth of the commercial and industrial sectors across Africa. 

“The cost savings offered by renewable energy, coupled with the reliability of battery energy storage systems, allows companies like CrossBoundary Energy to provide the business sector with immediate cost savings whilst significantly reducing their emissions, and creating employment in the renewable energy sector. CrossBoundary Energy has secured a leading portfolio of high-quality assets and we are excited to support them as they continue to scale.”

Aage Schaanning, Group Chief Financial Officer, KLP, added that they are pleased to support the further development of CrossBoundary Energy’s portfolio of distributed renewable energy systems and are confident that its strong business practices will boost sustainable economic development on the African continent and deliver stable and predictable returns for KLP’s owners.

In his comment, William Barry, Managing Director, ARCH ARPF, stated: “We are extremely pleased with the progress made by CrossBoundary Energy following our investment in 2020, with their portfolio growing ten-fold over the last two years. CrossBoundary Energy has established itself as a pioneer and clear market leader in the commercial and industrial renewable energy sector across Africa, and we look forward to supporting the next phase of growth enabled by Norfund and KLP’s investment.”