Photo by: Duane Daws
Global pan-emerging markets investment firm Actis on Monday closed its third energy fund, Actis Energy 3, after having raised $1.15-billion, exceeding its original target of $750-million by 50%.
Actis Energy 3’s investor base included pension funds, sovereign wealth funds and families from the US, Europe and Asia. Discretionary co-investment capital worth $262-million was also available to the fund.
“This successful fundraising is a sign of confidence from our investors in our focused strategy. Electricity in the emerging markets faces high demand growth but remains a scarce commodity in Latin America, Asia and Africa. We provide access to the resulting investment opportunity with a proven approach. Such is the demand, especially in the renewables space, that the team has already put half of the new fund to work,” Actis energy co-head Torbjorn Caesar said.
To date, $560-million worth of investments had been committed.
During the course of 2013, Actis Energy 3 had announced that it would support Brazilian renewable-energy company Atlantic Energias Renovaveis and Chile-based wind and solar electricity provider Aela Energía.
Subject to regulatory approval, Actis Energy 3 would also own a majority stake in Cameroon’s national grid and, in March, signed an agreement to acquire Morocco’s water, wastewater and electricity services.
“Over the last decade, we have deployed over $1-billion in the energy space. Over the coming years, Actis looks forward to continuing to contribute to the energy mix of the fast growing nations we serve,” Actis senior partner Paul Fletcher said.