Adenia Partners, a private markets investment firm dedicated to responsible investing in Africa, has marked a significant milestone by acquiring a majority stake in Enfin, a provider of solar financing solutions in South Africa. This move represents the inaugural investment from Adenia’s fifth flagship fund, aptly named Adenia V.
The investment comes at a critical juncture for South Africa, grappling with a severe energy crisis that has profoundly impacted economic growth and the daily lives of its citizens. Record levels of load shedding – power blackouts lasting up to 12 hours a day – have posed a substantial threat to the nation’s industrialised economy.
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The South African Reserve Bank (SARB) has projected a staggering 250 days of power blackout in 2023, translating to an economic loss exceeding $13 billion.
Experts believe Enfin is ideally positioned as a beacon of hope amidst this crisis. The company specialises in providing affordable and sustainable solar energy solutions to businesses, farms, sectional titles, and schools in South Africa.
By funding, maintaining, and insuring solar installations, Enfin empowers its clients to embrace cleaner energy alternatives, thereby reducing their dependence on the unreliable power grid. Over the next five years, Enfin aims to own, build, and operate more than 100MW of solar assets, potentially mitigating over 200 000 metric tonnes of CO2 emissions annually.
Adenia’s investment in Enfin signifies a collaborative effort to combat the energy crisis and promote environmental sustainability. This partnership also reunites Adenia with Heine Herholdt, a renowned expert in the commercial and industrial solar sector, fostering a synergy of expertise and innovation.
Florent de Boissieu, partner at Adenia, expressed his enthusiasm for the collaboration, stating, “Enfin’s commitment to a sustainable future aligns seamlessly with our strategy of creating lasting impact while delivering financial returns. We are excited about the prospect of enabling more South African businesses to achieve energy savings and financial stability during this pivotal moment for the country.”
Werner Loftus, CEO of Enfin, shared his excitement about the partnership, stating, “With Adenia’s support, we can expedite the expansion of our solar funding solutions, providing crucial energy independence to businesses struggling with unreliable grid energy. Our focus will be on bolstering the commercial and industrial sectors most affected by the energy crisis, fostering long-term sustainability and reducing reliance on coal.”
Adenia V, which has exceeded its $400 million fundraising target, represents a continuation of Adenia’s commitment to sustainable investments across Africa. The fund’s primary objective is to drive urgent climate action throughout the continent by implementing targeted mitigation and adaptation strategies for climate change.
Adenia’s firm-wide commitment to achieving carbon neutrality by 2027 underscores the organisation’s dedication to environmental stewardship.
This strategic investment in Enfin not only signifies a pivotal moment for the energy sector in South Africa but also reflects Adenia’s unwavering commitment to creating a sustainable and resilient future for the continent. With innovation, collaboration, and a shared vision for a greener tomorrow, Adenia and Enfin are set to transform South Africa’s energy landscape, one solar panel at a time.
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