Actis Energy 3C Sub-Feeder LP

Africa Manufacturing, Infrastructure

Actis is a leading investor in growth markets across Africa, Asia and Latin America. Its three separate investment groups focus on energy and infrastructure; real estate; and general sectors, including consumer, education, financial services, healthcare, industrial, manufacturing, and retail.

Actis was formed in 2004 following a restructuring of CDC designed to bring more equity capital into developing countries and the two organisations have a shared history.

The London-based firm has offices across Africa, Asia and Latin America.

The team has built the Actis Energy 3 (AE3) fund to invest in electricity generation and distribution businesses in Africa, Asia and Latin America.

Our investment

In 2014, CDC backed the AE3 fund with a $70 million commitment. Our commitment helped Actis raise a total of $1.15 billion for AE3 and the fund has made investments of between $50 million and $150 million in both established and growing energy businesses. Our capital is exclusively used for investment in projects in Africa and South Asia.

Expected impact

Emerging markets such as Africa and Asia have seen a rapid rise in demand for electricity, but it remains a scarce commodity. Providing a reliable source of energy helps businesses to develop and grow, creates new and better jobs and improves the lives of millions of people.

Our investment in AE3 enabled the fund manager to make investments in Cameroon’s national grid and renewable energy projects across Africa and South Asia.

In 2014, the fund manager invested in Ostro, a renewable energy platform in India. Construction of the platform started the same year and by 2018 it was producing 800 megawatts (MW) of wind energy and 200MW of solar energy. In March 2018, Actis sold the company to ReNew Energy, creating India’s largest renewable energy company

Environmental and social aspects

We worked closely with the fund manager to develop and implement an Environmental and Social Management System (ESMS) that has the capacity to manage the higher level of environmental and social risk associated with this sector.

Key facts

Status:
Active
Region

Since 2012, we’ve only invested in Africa and South Asia. Investments outside these regions are from our pre-2012 portfolio.

:
Africa
Countries

For funds, the countries listed here are those the fund has invested in so far.

:
Brazil, Cameroon, Chile, India
Sector

We have seven priority sectors. However, we continue to invest outside these sectors, largely in the most challenging regions, as new investment supporting any sector helps to underpin the private sector, and create jobs and livelihoods for people. For funds, the sectors listed here are those the fund has invested in so far.

:
Infrastructure, Manufacturing
Website:
https://www.act.is/
Investment type

We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).

:
Intermediated investment
Fund manager:
Actis LLP
Start date

For direct investments, this is the date CDC committed capital to the business or project.

For funds, this is the date that CDC committed capital to the fund.

For underlying fund investments, this is the date that the fund invested capital into the business.e

:
September 2013
Amount

For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).

For funds, this is the total amount that CDC has committed to the fund.

:
$70m
Domicile

This is the investee company’s place of incorporation; or a fund’s jurisdiction.

:
Scotland

Investments made by this fund

  • Active
  • Exited
Investment name Country Region Sector Start date Status
Eneo (Formerly Sonel)

Eneo Cameroun SA is the monopoly transmission, distribution and generating company in Cameroon and began operations in 1973.

View investment details

Cameroon Africa, Central Africa Infrastructure June 2014 Active
Ostro

Ostro Energy is an 800 megawatt renewable energy platform in India (the first project is a 50.4 megawatt wind platform under construction in Tejuva in Iaisalmer, Rajasthan).

View investment details

India South Asia Infrastructure August 2014 Exited
Lekela Power

Lekela Power is a power platform which will eventually own over 700 megawatts of wind and solar energy installed capacity across Africa. The initial three projects, Khobab, Loeriesfontein and Noupoort, are all located in the Northern Cape of South Africa and will deliver a combined 360 megawatts of wind energy capacity.

View investment details

Africa Infrastructure February 2015 Active
First Atlantic Bank Ghana Africa, West Africa Financial services January 2018 Active