ECP, A.P. Moller Capital, DEG and IFU join forces to invest in Eranove
Emerging Capital Partners (ECP), A.P. Moller Capital, DEG and Danish development finance institution IFU have announced the creation of a new company called ECP Power & Water Holding that will invest in the industrial group Eranove.
ECP Power & Water Holding becomes the reference shareholder of the pan-African industrial group Eranove, a major player in the management of public services and the production of electricity and drinking water, in which ECP has been the largest shareholder since 2008. This will help place the Eranove Group on a long-term path to increase its supply of electricity and clean water to millions of people in Africa. The new company will put a priority on clean energy investments.
“This strategic partnership constitutes a key focus for ECP, which has established its position as a long-term investor in the water and electricity sectors on the continent. It is also a growth lever to finance the long-term development of the Eranove Group continuing and further expanding Eranove’s strong focus on sustainable and responsible development,” explains Vincent le Guennou, co-CEO of ECP and chairman of the board of directors of the Eranove Group and chairman of the board of directors of ECP Power & Water Holding.
The Eranove Group has been present in Côte d’Ivoire for several decades and in Senegal since 1996. With a turnover of €615 million, 306 million cubic metres of drinking water produced, an operated electricity production capacity of 1,250 MW, the Eranove Group employs more than 7,800 people, whose skills and know-how it catalyses to serve 2.9 million customers for electricity and 1.4 million for water (as of 2020). In electricity generation, the group has two baseload power plants under construction and a strong pipeline of renewable energy projects – hydroelectric and solar – across Africa.
“This investment in Eranove fits well with our strategy for The Africa Infrastructure Fund, namely, to support sustainable development on the African continent. Supplying reliable and cost-effective energy with low carbon emissions, for corporations and households is a necessity for further development in the continent,” says Jens Thomassen, partner at A.P. Moller Capital.
“Our investment in Eranove Group is a unique opportunity to support a socially responsible and sustainably profitable institution that will continue to have significant positive socioeconomic development impacts in Africa,” explains Mackenzie Schow, deputy head of equity for Africa at DEG.
“We are very pleased with our investment in Eranove because the company has the potential to become a major supplier and distributor of energy and water in Africa, delivering sustainable services that supports the green transition and enables people and businesses to prosper,” notes Torben Huss, CEO of IFU.
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