Fortis Green Renewables Investment Management, operating its Green Fund I, and AXIAN Energy, a division of Pan-African Group AXIAN, have jointly acquired stakes in Gigawatt Global Rwanda Ltd (Gigawatt Rwanda).
This solar power plant is situated in Rwamagana, Rwanda, on the premises of the Agahozo-Shalom Youth Village.
Ownership Distribution and Operational Expertise
The acquisition results in Fortis Green Fund I Rwanda Holdings Ltd holding 51% of the shares in Gigawatt Global Rwanda Ltd, while NEA Rwanda Ltd, a subsidiary of AXIAN Energy, holds the remaining 49%.
Notably, NEA Rwanda Ltd also possesses 100% ownership of Scatec Solar Rwanda and leverages its expertise to provide operational and maintenance services for the project.
Acquisition Process and Legal Support
The share purchase agreements between Fortis Green, Axian Energy, and the seller group—comprising Scatec ASA, Norfund, and KLP Norfund—were signed in December 2023 and February 2024, initiating the acquisition process.
The transaction reached its completion on July 30, 2024, with Hogan Lovells providing legal counsel to the buyers.
Significance for Fortis Green Renewables and AXIAN Energy
For Fortis Green Renewables, this investment marks a substantial advancement in the development of Green Fund I, granting investors access to a stable and consistent operational asset in the promising Rwandan market.
For AXIAN Energy, this acquisition signifies its entry into the Rwandan market, underscoring its dedication to fostering energy inclusivity across Africa.
Statements from Key Stakeholders
Benito Grimaudo, Managing Director of Fortis Green Renewables Investment Management, expressed satisfaction with the addition of Gigawatt Rwanda to their portfolio, emphasizing their commitment to the development and operation of clean and renewable energy in Africa.
Jonathan Shafer, also a Managing Director at Fortis Green Renewables, highlighted the importance of partnerships in their success and expressed enthusiasm about collaborating with AXIAN Energy.
He also acknowledged the valuable partnership with the Agahozo-Shalom Youth Village, an organization dedicated to assisting vulnerable children in Rwanda.
Benjamin MEMMI, CEO of AXIAN Energy, welcomed their first venture into the Rwandan market and highlighted their shared ambition with Fortis Green Renewables to provide sustainable and accessible energy solutions for local communities.
Solar Power Plant Details and Impact
The solar power plant, located 60 km east of Kigali, has a capacity of 8.5 MW DC. Since its inception in 2014, it has been providing reliable power to nearly 140,000 beneficiaries through a 25-year power purchase agreement with the Rwanda Energy Group.
With over 28,000 solar PV panels spread across a 50-acre site, the project was the first grid-scale solar power plant connected to the regional power grid, significantly improving access to clean and renewable energy in Rwanda.
FMO and the Emerging Africa Infrastructure Fund (EAIF) have provided and continue to provide project debt financing.
Agahozo-Shalom Youth Village
The project is located on land owned by the Agahozo-Shalom Youth Village (ASYV), a 144-acre residential community in Rwamagana, Rwanda.
Initially established as a haven for orphans of the 1994 Genocide Against the Tutsi, ASYV now serves Rwanda’s most vulnerable youth by providing education, medical and mental health services, extracurricular activities, and a nurturing family environment, embodying the Kinyarwanda word ‘agahozo,’ meaning the drying of tears.