Norfund's Climate Investment Fund in South African energy deal
The fund is investing in a new South African platform for renewable energy, operated by Pele Green Energy Group.
** Grow your business in 2025 with Africa Private Equity News: Explore our advertising options **
The Climate Investment Fund, managed by Norfund, is investing in a new South African platform for renewable energy, operated by Pele Green Energy Group.
Pele is a South African Black Economic Empowerment (BEE) infrastructure company, founded by five young entrepreneurs in 2009. The group develops, owns, builds, and operates renewable energy projects. As of today, it has 980 MW in operation, 670 MW under construction, and a further pipeline of more than 5 GW under development.
The Climate Investment Fund is partnering with Nedbank, one of South Africa’s largest banks, to invest a total of ZAR 575 million (about $32.6 million) to scale up the company’s investments in renewable energy.
“We see this investment as a significant contribution to meeting South Africa’s growing energy needs while avoiding large scale emissions,” says Bjørnar Baugerud, head of the Climate Investment Fund at Norfund.
“This transaction is a game-changer for the Pele Energy Group and the broader renewable energy sector,” said Gqi Raoleka, CEO of Pele. “Having Nedbank and Norfund as strategic partners in our capital structure reflects their strong belief in our vision and capabilities. This backing enables us to accelerate project development, scale impact, secure new opportunities, and drive sustainable energy solutions that will have a lasting impact on Africa’s energy future.”
Stay ahead in Africa's private equity and venture capital sector with Africa Private Equity News’ monthly Dealmaker’s Log – a database of reported investment deals, exits, and fundraising closes. Subscribe here