Gaia to raise $200m for Africa in Luxembourg climate fund
Gaia Fund Managers is raising $200-million for investment in African renewable energy plants and power grids with the assistance of Apex Group.
The money will be raised through the Gaia Africa Climate Fund which will be domiciled in Luxembourg to allow US and European investors direct access. Apex Group will act as fund administrator.
Investors are conducting their due diligence checks and some have committed to provide the first $50-million this year, according to Renier de Wit, MD of Gaia Fund Managers. The fund is expected to be fully capitalised by the end of 2025, he said.
About half of Africa’s population, or about 600 million people, have no access to electricity, according to research done by the South African Institute of International Affairs. The continent has significant renewable energy resources which remain untapped due to lack of funding, stoking the demand for private developers to raise capital for green energy infrastructure such as solar, wind and hydro projects that attract funding more easily then fossil fuel plants.
Gaia, a South African fund manager, will also list vehicles on the Kenyan and Botswana stock exchanges to ensure indirect access for institutional and pension fund investors from those countries.
The climate fund will operate as a so-called yieldco, which invests in plants that are operating to free up money for developers to build new facilities, De Wit said.
The new fund will expand its focus beyond South Africa and seek opportunities across sub-Saharan Africa to give it geographical diversification. It will also invest in hydropower and transmission lines in addition to solar and wind.
Comments
Research Reports
Projects
Latest News
Showroom
The SAIMM started as a learned society in 1894 after the invention of the cyanide process that saved the South African gold mining industry of the...
VISIT SHOWROOM
Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
