UK power infrastructure investor Gridworks and South African investment firm New GX Capital announced that they have injected USD 40 million (EUR 34m) into a South Africa-based solar power company operating in the commercial and industrial (C&I) segment to support its expansion across other regions of the African continent.
Gridworks invested a total of USD 31 million in Sustainable Power Solutions Investments (SPS) -- USD 22 million as part of its co-investment with New GX and an additional USD 9 million to become a majority shareholder in the C&I business.
Back in late 2019, SPS, then known as Mettle Solar Investments, was Gridworks’ first investee.
SPS funds, develops and operates solar power and battery storage stations for C&I clients across sub-Saharan Africa. The firm has over 45 MW of solar and more than 15 MWh of battery storage in operation and under construction in South Africa, Namibia, Kenya and Indian Ocean islands, according to a joint press release.
Fresh capital will enable SPS to strengthen its presence in existing markets and move into new ones as it targets to build an additional 100 MW of projects.
The new investment reshuffles the ownership structure of SPS. Gridworks becomes the majority shareholder, while New GX replaces minority shareholders, Trigen Group and Genfin.
South African entrepreneur Khudusela Pitje, the founder and CEO of New GX, joins the SPS board alongside New GX executive Carin van Woudenberg.
Titan Group, led by South African businessman Christo Wiese, will remain an investor in SPS, the parties said in the press release.
Gridworks, an investor in Africa’s electricity networks, is wholly-owned and backed by the UK's development finance institution CDC Group plc.
(USD 1.0 = EUR 0.851)
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