Africa50 Group, a leading pan-African infrastructure investor and asset manager, has secured a $40 million investment from South Africa’s Public Investment Corporation (PIC), representing the Government Employees Pension Fund (GEPF).
This move makes the PIC Africa50’s 36th shareholder, joining a diverse group of 32 African nations, the African Development Bank (AfDB), the Central Bank of West African States (BCEAO), and the Bank Al-Maghrib.
The PIC, one of the largest asset managers on the continent with $141.5 billion in assets under management, strengthens Africa50’s mission to mobilize institutional capital from Africa for large-scale infrastructure development.
CEO of Africa50, Alain Ebobissé, expressed his optimism, saying, “The PIC’s investment validates Africa50’s ability to deliver value for investors and economies. This partnership will leverage our project development expertise and continental reach to accelerate infrastructure delivery, driving sustainable growth.”
Kabelo Rikhotso, Chief Investment Officer at the PIC, emphasized that the investment aligns with the company’s “Rest of Africa” strategy.
“Africa50’s extensive presence and expertise across the continent provides PIC with a valuable opportunity to achieve both financial and developmental objectives in line with our client mandates,” he said.
“This partnership will help address the slow pace of infrastructure development and address the significant infrastructure deficit in Africa. PIC remains committed to the African continent’s growth and looks forward to a strong strategic collaboration with Africa50 and our other partners to drive sustainable infrastructure investment.”
The PIC’s funding will further support key initiatives, including the Africa50 Infrastructure Acceleration Fund (IAF) and the $500 Million DRE Nigeria Fund.
The IAF has already raised $222.5 million in its first close.
The DRE Nigeria Fund is a $500 million initiative launched in partnership with the International Solar Alliance (ISA), Nigeria Sovereign Investment Authority (NSIA), and Sustainable Energy for All (SEforALL) to finance renewable energy projects.
The Alliance for Green Infrastructure in Africa (AGIA), a joint initiative with the African Union and AfDB, also targets raising $500 million for green infrastructure.
Earlier in March, the Nigeria Sovereign Investment Authority (NSIA), Sustainable Energy for All (SEforALL), the International Solar Alliance (ISA), and Africa50 had launched the $500 million DRE Nigeria Fund, aimed at financing distributed renewable energy (DRE) projects in Nigeria.
The fund will address issues such as currency volatility and the lack of local currency financing options.
It will focus on mini-grids, solar home systems, commercial and industrial power solutions, embedded generation projects, and energy storage technologies.
One of its primary goals is to attract local currency funding from pension funds, insurance companies, and other local institutional investors.
