British International Investment

Malindi Solar Group Limited

East AfricaInfrastructure

The Malindi Solar Group will build a 52 MW solar photovoltaic power plant in South-East Kenya. Globeleq, our majority owned independent power producer solely focused on building more power generation in Africa, is the sponsor of the project. Malindi is on track to be the first of four utility-scale solar power plants in Kenya to begin construction.

This investment was made when British International Investment was named CDC Group.

Our investment

Description of the investment.

$31.9 million debt investment from BII and $16 million from Globeleq to finance the construction of a 52 MW solar photovoltaic power plant in South-East Kenya. As the mandated lead arranger, BII initially invested $51.9 million in debt financing before syndicating USD20m to DEG, the German development finance institution. The plant, operational since January 2022, is one of the first independent-owned utility scale solar plants in Kenya.

Expected impact

Expected impact of investments made between 2012 and 2018. From 2019 onwards, we have published a fuller set of impact information, assessing each investment against six dimensions of impact.

The Malindi plant will provide 52 MW of clean generation capacity to the Kenyan grid. Kenya's per capita electricity consumption is well below the sub-Saharan average and 44 per cent below the level that would be expected for its GDP per capita. Located in a region where load shedding is widespread and power demand is increasing, it is expected most of the generation will be consumed locally. It is estimated that the power generated will support the creation of jobs through direct employment and indirect job creation due to more consistent supply of electricity.

Reporting and Complaints Mechanism

The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.

For any other general enquiries contact us at [email protected]

  • Key facts

    Last updated

    When the last quarterly update of the website database occurred.

    :
    June 2024
    Project number

    An identifier number shared by investments in the same project.

    :
    D3239
    Status

    The current status of the investment (green flag for active and red flag for exited).

    :
    Active
    Region

    The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.

    :
    East Africa
    Country

    The countries where the investment delivers impact. Where impact is delivered in multiple countries, this is indicated.

    :
    Kenya
    Sector

    We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.

    :
    Infrastructure

    We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.

    For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.

    For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.

    For direct equity investments, this is the date at which British International Investment exited the investment.

    For debt investments, this is the date at which the final debt repayment was made.

    For funds, this is the date at which the fund was terminated.

    For underlying fund investments, this is the date at which the fund manager exited the investment.

    The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.

    For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.

    The currency in which the investment was made.

    Investment type :
    Debt
    Start date :
    May 2019
    Amount :
    $-20m
    Currency of investment :
    USD
    Domicile

    The company or investment fund’s place of incorporation.

    :
    Kenya

Related investments made by BII into this company:

Investment name Commitment Region Sector Start date Status
Investment 01 $51.91m East Africa Infrastructure May 2018 Active

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