South Africa: Standard Bank provides facility to Mulilo Energy Holdings
Standard Bank has finalised terms to provide a landmark corporate facility to pioneering independent power producer Mulilo Energy Holdings.
By Standard Bank
Standard Bank has finalised terms to provide a landmark corporate facility to independent power producer Mulilo Energy Holdings.
Mulilo is a South African renewable energy developer and independent power producer established in 2008.
Standard Bank has been appointed as the sole lender and agent as it relates to the Equity HoldCo Facility. The facility will have an initial commitment of ZAR 1.1 billion (about $62.7 million) available to support equity commitments while a further ZAR 5.9 billion (about $336.2 million) can be allocated from headroom as the security pool grows raising the total commitment to ZAR 7 billion (about $398.9 million).
The facility is designed to further empower Mulilo’s ambitious growth trajectory. Unlike traditional project-specific financing, the facility has been innovatively developed and tailored to provide broader support for the company’s strategic expansion, including equity participation and guarantees.
This will enable Mulilo to execute on a robust pipeline of renewable energy projects, spanning REIPPPP, battery energy storage systems, and private off-take agreements with aggregators and traders. Earlier this year, Mulilo was named as the preferred bidder for four projects to develop 493 MW / 1972 MWh of new battery storage capacity in the Free State province, in addition to the nine other large-scale renewable energy projects progressing towards financial close.
“This facility is not just about financing, it’s about adding to much-sought energy security through a partnership between organisations that value Africa’s long term sustainable growth,” says Rentia van Tonder, Head of Power at Standard Bank Corporate and Investment Banking.
“It enables Mulilo to scale, deliver on its pipeline, and contribute meaningfully to job creation, regional development, and energy security,” she adds.
Mulilo has undergone a remarkable transformation since Copenhagen Infrastructure Partners (CIP) acquired a stake in the company approximately two years ago. Mulilo has consistently demonstrated its ability to win and deliver on high-impact projects across the energy spectrum. Over the past 18 months alone, the company has been awarded multiple projects, reinforcing its position as a key contributor to South Africa’s energy transition.
“Mulilo welcomes the strategic partnership with Standard Bank given its commitment, sector expertise, and innovative financing approach,” says Jan Fourie, Mulilo Chief Executive Officer.
“Securing the R7 billion facility marks a pivotal milestone for the company and affirms the bank’s confidence in our strategy. Through this collaboration, we can accelerate renewable energy projects that will drive South Africa’s transition and deliver sustainable value to communities and shareholders,” concludes Fourie.