Vantage Capital in South African solar deal
Vantage Capital has made a R635 million (about $39.5 million) investment into Commercial Energy South Africa.
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Vantage Capital, an African mezzanine debt fund manager, has made a R635 million (about $39.5 million) investment into Commercial Energy South Africa (CESA). The company is a subsidiary of SolarAfrica, a South African energy solutions provider. CESA holds commercial and industrial (C&I) solar and battery energy assets developed by SolarAfrica. The investment was made alongside co-investor Greenpoint Capital.
The investment comprises a mezzanine facility which was used to exit Inspired Evolution from CESA, making SolarAfrica the 100% owner of CESA.
SolarAfrica provides solar-PV, battery storage, energy trading, electricity wheeling and gas-to-power services tailored for C&I clients, helping businesses lower electricity costs, secure reliable power and reduce carbon emissions.
CESA acts as a holding company for C&I rooftop solar and battery storage solutions assets that have been developed by SolarAfrica.
Roshal Ramdenee, partner at Vantage Capital, said: “This transaction reflects our conviction in distributed energy infrastructure and the strength of SolarAfrica’s platform. CESA’s contracted C&I solar and battery portfolio provides predictable cash flows and supports South Africa’s shift to reliable and sustainable power. We look forward to working closely with SolarAfrica and Greenpoint as the platform continues to scale.”
Warren van der Merwe, managing partner at Vantage Capital, added: “Vantage has provided senior debt to a number of renewable energy projects through its GreenX senior debt division. We are pleased to showcase in this deal how mezzanine finance can play a part in the rapidly evolving power sector. Congratulations to Charl and his team for driving a super-efficient process, which allowed us to close this deal under very tight timelines.”
Nic van Zyl, CIO at Greenpoint Capital, added: “We are pleased to have finalised this transaction in support of the SolarAfrica team, whose progress we have tracked over many years. We look forward to collaborating with Vantage Capital on this high-quality solar asset.”
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