Afrigreen Fund

Equity : February 2023

BIO has invested EUR 10 M in the Afrigreen Debt Impact Fund, a private equity fund focused on solar renewable energy in Sub Saharan Africa.

Amount

€ 10,000,000.00

Type of investment

Equity

Development impacts

  • Access to basic services & goods
  • Fight against climate change and preservation of natural resources
  • Promotion of ESG best practices

Beneficiary locations

Sub-Saharan Africa: Cameroon, Côte d'Ivoire, Ghana, Mali, Nigeria, Senegal

Investment field

Investment Companies & Funds

Activity

DD.35.113  Production of electricity: solar

Organisation

Afrigreen Fund

Domicile

France

The Afrigreen impact fund is a specialised professional investment fund which will offer senior debt facilities for medium-sized solar and electricity storage projects, targeting Commercial & Industrial companies (C&I) in Central and Western Africa.

The objective is to provide project finance and/or asset-based finance solutions to power generation companies (utilities, i.e. electricity companies, independent power producers) and/or the ultimate power consumer (a commercial and/or industrial company, C&I). The Fund will contribute to the energy transition in Africa aiming at reducing CO2 emissions and contributing to the Sustainable Development Goals of the United Nations.

Development impacts

  • Access to basic services & goods

    The Fund will invest in companies that develop, install and maintain Solar based energy installations for the Commercial & Industrial (C&I) markets. C&I Solar installations provides electricity at a lower cost compared to the widely used, costly, polluting, and dangerous diesel generators.

  • Fight against climate change and preservation of natural resources

    Inefficient and polluting energy sources (fossil fuel-based) will be replaced by more efficient and cheaper on- and off-grid C&I solar installations. The fund anticipates to install 92MW of solar panel installation resulting in over 145,000 MWh of solar electricity production by year and over 86,660 TCO2 emission reduction annually.

  • Promotion of ESG best practices

    The fund has engaged important capacity to cover Environmental & Social (E&S) risks. E&S Management Systems are in line with BIO E&S standards and policies. In addition, Afrigreen will provide support to their clients to perform E&S evaluation (promoting E&S standards at a higher level than the legal regulation requirement).

E&S Impact

Afrigreen and BIO collaborated on an update of the fund’s Environmental and Social Management System (ESMS) and of the ESG Scoring tool to ensure alignment with the IFC Performance Standards and the management of absolute risks related to the type of projects that will enter the fund. The Fund will also do a mapping exercise of its solar panel suppliers. Furthermore, BIO proposed to better formalise the fund’s commitment and to strengthen the fund’s capacity with additional trainings.

Situation at the time of investment

Fund manager with a strong ESG and impact ambitions. ESG risks are currently managed by two people and streamlined via an in-house ESG Scoring tool that ensures standardisation of the process.

Risk Category: B

View more of our investments in this region

Alterfin

Investment Companies & Funds

Alterfin

 21,500.00

  11/07/2023

  Subsidy

Metier Capital Growth Fund III

Investment Companies & Funds

Metier Capital Growth Fund III

6,000,000.00

  Ghana, Kenya, Nigeria, South Africa, Uganda

  30/06/2023

La Compagnie Cacaoyère du Bandama

Enterprises

La Compagnie Cacaoyère du Bandama

 38,513.00

  Côte d'Ivoire

  15/06/2023

  Subsidy

Spark + Africa Fund

Infrastructure

Spark + Africa Fund

350,000.00

  Burkina Faso, Côte d'Ivoire, Ghana, Kenya, Rwanda, Senegal, Tanzania, Uganda

  01/06/2023

  Subsidy

Poa! Internet

Enterprises

Poa! Internet

 3,000,000.00

  Kenya

  08/05/2023

  Debt

Agri-Vie Fund II

Investment Companies & Funds

Agri-Vie Fund II

 200,000.00

  Kenya, South Africa, Uganda, Zambia

  21/03/2023

  Subsidy

Agroserv Industrie SA

Enterprises

Agroserv Industrie SA

 43,924.00

  Burkina Faso

  14/02/2023

  Subsidy

candi solar

Infrastructure

candi solar

 6,180,468.00

  India, South Africa

  03/02/2023

  Debt

Adenia Capital IV

Investment Companies & Funds

Adenia Capital IV

 150,000.00

  Benin, Burkina Faso, Burundi, Cameroon, Côte d'Ivoire, Democratic Republic of Congo, Ethiopia, Ghana, Guinea, Kenya, Madagascar, Malawi, Mali, Mozambique, Niger, Nigeria, Rwanda, Senegal, South Africa, Tanzania, Uganda

  26/01/2023

  Subsidy