Africa REN completes the Shareholding Reorganization of the Senergy2 Solar Power Plant

By Abdul Rahman Bangura-

Photo Credit: Climate action

NEW AFRICA BUSINESS NEWS (NABN) Freetown, Sierra Leone– A homesteader in renewable energy in Africa – Africa REN endorses a shift in the shareholding of the Senergy 2 solar power plant. Historical shareholders have peddled h enterprise vehicle set up by Africa REN and its partners. Located in Bokhol, in the North of Senegal, Senergy 2 was authorized in 2016, giving rise to it the first solar photovoltaic power plant in West Africa.

In 2021, Africa REN brought up a new vehicle, Africa REN Energy (ARE), from the pan-African private equity fund manager Metier Sustainable Capital and the Dutch development bank FMO. Senergy 2 was initially clasped by Africa REN Investment (ARI), the first investment vehicle of Africa REN. It is now ARE that has barely completed the accession of 60% of the shares of the plant from the historical shareholders.

The staying 40% of this strategic asset for Senegal is amassed by the Senegalese Caisse des dépôts et consignations (CDC) in traffic of the shares it held in ARI. The transaction also permits Africa REN to completely rid its first renewable energy financial vehicle.

The solar power plant persists within the Africa REN group and will begin again to be governed and regulated by Africa REN Operations (ARO), the group’s service company. ARO has experienced local teams and management tools to maximize the assets’ performance over the long term while ensuring compliance with its obligations to the stakeholders, such as lenders and local communities.

Outside Senegal, Africa REN develops, finances, and operates infrastructure to increase access to electricity for the people of sub-Saharan Africa. In addition to Senergy 2 (25MW), Africa REN is completing the construction of the largest solar power plant in Burkina Faso, Kodeni Solar (38MW).

Africa REN’s trustworthiness, dexterity and aptitude have unlocked a window of relief for public-private partnerships in the sector. Senergy 2 is testament to the Senegalese government’s energy mix policy.

Gilles Parmentier, CEO of Africa REN, said, “The transaction we have just completed demonstrates the dynamism of the solar sector in West Africa and the attractiveness of this asset class for investors. We would like to thank our partners in Senegal for having helped structure this strategic transaction for the country. Senegal has led the way in solar electrification and Africa REN is proud to continue to actively contribute to this adventure.”

Jean-Louis Vinciguerra, President of ARI, said, “Operational since 2016, the Africa REN Invest (ARI) investment vehicle has been a pioneer in solar energy in Sub-Saharan Africa. This sale allows ARI to be fully divested and return funds to its investors.”

Marc Immerman, a Principal of Metier’s Sustainable Capital practice, said, “We have been working with Africa REN and FMO for several years and are delighted to partner with them on this project. Africa REN has led the way in demonstrating that it is possible to deliver clean, sustainable and competitive energy projects that have a positive impact across the region.”

Rinse Geuzendam, Senior Investment Officer Private Equity at FMO, said, “West Africa is a region where the opportunities in terms of renewable energy development are immense. Our collaboration with Africa REN and Metier is one of our most active in the area. We are proud to be part of this project that will continue to serve the people of Senegal sustainably.

Africa REN is an architect and investor in sustainable infrastructure to boost access to energy and important services on the African continent. Africa REN develops and operates solar power plants, storage solutions, power grids, street lighting solutions, wastewater treatment plants, and drinking water production.

For New Africa Business News (NABN) Abdul Rahman Bangura Reports,  Africa Correspondent