Swedfund invests $10m in Africa-focused fund
Swedfund has invested $10 million into the E3 Low Carbon Economy Fund I, managed by Nairobi-based E3 Capital, which serves as the investment advisor to the fund. The fund is focused on investments in renewable energy, climate and digitalisation in developing countries within sub-Saharan Africa, including but not limited to Kenya, South Africa, Ghana and Nigeria.
“Our investment provides opportunities for early-stage companies to grow and develop their business in areas such as renewable energy and digitalisation. Optimisation is important because it creates opportunities for both individuals and companies and has a positive impact on productivity, jobs, and growth,” says Gunilla Nilsson, investment director for energy and climate at Swedfund.
The fund’s investments will be directed toward three primary areas:
– Off-grid renewable energy solutions including, among other things, solar energy for commercial and industrial customers and solar-based products such as lamps and coolers for small businesses and households.
– Digital products and services that include energy-efficient data centres and wireless internet services.
– Low-carbon products and services, encompassing electric vehicles and energy efficiency solutions such as smart electricity meters.
With primary investments ranging between $500,000 and $1 million, the fund aims to build a diversified portfolio of companies actively engaged in its target areas.