Mulilo Energy secures R7bn facility from Standard Bank for growth
Renewable-energy developer and independent power producer Mulilo Energy has secured an initial R1.1-billion corporate facility from financial services firm Standard Bank to support equity commitments. A further R5.9-billion can also be allocated from headroom as the security pool grows.
The Equity HoldCo Facility is designed to further empower Mulilo’s growth trajectory, Standard Bank says.
Specifically, the facility has been developed to provide broader support for the company’s strategic expansion, including equity participation and guarantees.
This will enable Mulilo to execute on a pipeline of renewable-energy projects, including those under the Renewable Energy Independent Power Producer Procurement Programme, battery energy storage systems and private offtake agreements with aggregators and traders.
Mulilo was named as a preferred bidder earlier this year for four projects to develop 493 MW or 1 972 MWh of battery storage capacity in the Free State province, while its nine other large-scale renewable-energy projects are progressing towards financial close, the bank says.
“This facility is about boosting energy security for Africa’s long-term sustainable growth. It enables Mulilo to scale, deliver on its pipeline and contribute meaningfully to job creation, regional development and energy security,” says Standard Bank Corporate and Investment Banking head of power Rentia van Tonder.
Over the past 18 months, Mulilo has been awarded several projects, which reinforces its position as a key contributor to South Africa’s energy transition, says Mulilo CEO Jan Fourie.
“Securing the R7-billion facility is a milestone for the company and reaffirms the bank’s confidence in our strategy.
“Through this collaboration, we can accelerate renewable-energy projects that will drive South Africa’s transition and deliver sustainable value to communities and shareholders,” he says.
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