AIIM doubles equity commitment to renewable energy platform NOA
African Infrastructure Investment Managers (AIIM), an infrastructure private equity manager and a subsidiary of Old Mutual Alternative Investments, is doubling its equity commitment to NOA Group Holdings to a total of $180 million to fast-track renewable energy in South Africa.
This follows the company’s announcement in late 2022 that it was investing $90 million to establish a renewable energy platform to provide integrated net-zero energy solutions to commercial and industrial customers in Africa.
Ed Stumpf, investment director at AIIM, says that the decision to ramp up its investment commitment is driven by strong client demand and the urgency to expedite the development of renewable energy sites in South Africa.
“We have seen exceptionally strong traction since the launch of NOA. Demand from our clients has necessitated an increase and acceleration in AIIM’s investment to enable the delivery of a much larger renewable energy portfolio on much quicker timeframes than we had initially envisaged. NOA’s differentiated approach and the rapid progress made by the team in a short space of time has increased our conviction in NOA’s potential to make a significant impact on the energy landscape in South Africa as a world-class developer, owner, operator and trader of renewable energy solutions,” says Stumpf.
Stumpf says financing for NOA will be sourced from a combination of equity provided by AIIM’s South African IDEAS Fund and the latest iteration of AIIM’s USD-denominated pan-African investment fund, AIIF4.
The announcement follows the recent news that NOA Group has agreed commercial terms with Netcare for a renewable energy supply arrangement. The transaction covers six Netcare facilities, whose power is currently supplied by Eskom. From Q1 2026, up to 100% of these sites’ energy consumption – comprising approximately 11% of Netcare’s total energy consumption – will be supplied from renewable energy sources through a combination of wind and solar farms.
Netcare says that this is an important step towards its goal of achieving 100% reliance on renewable energy sources by 2030.
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