Mainstream Renewable Power and investor Actis have signed an agreement to sell their joint venture African wind developer Lekela Power to Infinity Group and Africa Finance Corporation.
The deal is subject to regulatory approvals and customary closing conditions. The sale price was not disclosed.
Lekela was established in 2015 and has over 1GW of fully operational wind assets, including five operational wind farms in South Africa (624 MW), one operational wind farm in Egypt (252 MW), one operational wind farm in Senegal (159 MW) as well as development opportunities in Ghana, Senegal and Egypt.
The planned exit reflects the successful culmination of the Mainstream and Actis’s partnership strategy for Lekela, following a comprehensive value creation approach, they said.
Mainstream chief executive Mary Quaney said: “There has never been a more critical time to accelerate the global transition to renewable energy, for the health of both our planet and our communities.
“Much of Africa is acutely vulnerable to climate change and we are proud to have worked with Actis, as well as the communities, governments, project lenders, equipment suppliers and contractors across Africa, to deliver over 1 GW of operational wind power that will continue to have a positive impact for decades to come.
“Our vision is of a world electrified by renewable energy. Together with our strategic shareholders Aker Horizons and Mitsui, we are well positioned to lead and truly accelerate the transition to renewables in South Africa, across the African continent and in markets globally.”
Clifford Chance and Citi advised on the transaction.