South Africa-based insurer Old Mutual Ltd (JSE:OMU) last week announced the purchase of a majority stake in a 5-MW solar farm in Namibia through an infrastructure fund it manages.
Old Mutual Investment Group (Namibia) (Pty) Ltd, the insurer’s asset management arm in the country, partnered on the deal with independent power producer Sturdee Energy, which took a minority stake in Aloe Investments Number Twenty-Seven (Pty) Ltd, the project company behind the solar farm.
The shares in the project company were sold by Spanish energy firm AEE Power Ventures SL, which developed the project. A 30% stake in the solar farm is owned by a group of previously disadvantaged Namibians.
The solar farm is located in the town of Rosh Pinah, southern Namibia. It became operational in 2017 and supplies power under a long-term power purchase agreement (PPA) with local utility Nampower.