EBRD Steps Up Stake in Egypt’s Infinity
The EBRD is increasing its equity stake in Infinity, Egypt's largest renewable energy developer, with a new US$ 41.5 million commitment. The European Bank for Reconstruction and Development (EBRD) is a current shareholder, having invested US$ 60 million in the company in 2020.
The US$ 41.5 million, in addition to the remaining original amount, will support Infinity's plans to expand within Egypt and beyond, focusing on the company's pipeline of development and acquisition projects.
A portion of the Bank's proceeds will be used to acquire the renewable energy platform in Africa, Lekela Power, through its subsidiary, Infinity Power Holdings, the joint venture established with Masdar.
With the purchase of Lekela, Infinity Power will have 1.1 GW of working assets and become Africa's biggest platform for renewable energy.
The development will also benefit non-generation assets such as new electric vehicle (EV) charging stations and the electricity distribution network.
This most recent EBRD investment will aid Egypt's continuous transition to renewable energy.
Infinity has a substantial pipeline of renewable energy projects in Egypt that will assist the Egyptian government in reaching its target of 42 per cent renewable energy by 2035.
Nandita Parshad, Managing Director for the EBRD’s Sustainable Infrastructure Group, said:
“We are thrilled to support Egypt’s green economy transition by promoting strong private sector participation in its energy market through our commitment in Infinity Energy, which will see it become one of the largest renewable energy providers in the Middle East and Africa, especially following the Lekela acquisition. Egypt is an energy superpower with substantial solar and wind resources that has the potential to become a regional leader in renewable energy generation.”
Mohamed Ismail Mansour, co-founder and CEO of Infinity, said:
“We appreciate the support that the EBRD has always given us and value this partnership wholeheartedly. It is imperative for us to partner with the right organisations that truly add merit to our efforts in delivering sustainable energy solutions for all. We look forward to building a sustainable and green future, not only for Egypt but also all of Africa, and we aim to achieve this through the valuable support of all our strategic partners.”
Infinity is the top renewable energy developer in Egypt, with a portfolio of 184 MW of operating solar PV power facilities in Egypt and a pipeline of about 1.95 GW in the region.