CrossBoundary Energy secures $140mn to scale renewable energy portfolio across Africa

Africa-focused renewable energy solutions provider CrossBoundary Energy has secured $140mn senior debt from the Standard Bank of South Africa on a fully underwritten basis to scale its renewable energy portfolio across Africa.

According to the financial services provider, the transaction underscores the potential of commercial funders in supporting the adoption of renewable energy solutions by companies in Africa.

“The financing is being undertaken as a first tranche within a broader mandate with the Standard Bank of South Africa, which has been appointed to lead and arrange up to $300mn senior debt to support the scaling of CrossBoundary Energy's renewable energy portfolio serving Commercial and Industrial (C&I) clients across Africa,” the lender said in a press release on December 2.

Mauritius-headquartered CrossBoundary Energy has offices in Kenya, Nigeria, South Africa, and Ghana. The company is focused on delivering fully financed renewable power solutions to African businesses.

CrossBoundary Energy has secured a portfolio of $570mn worth of projects spread across 18 African countries. This includes 330 MW of solar and wind energy installations and 178 MWh of battery storage systems. Its clientele comprises major players in the mining, industrial, and telecommunications sectors, such as Rio Tinto, Unilever, Diageo, Heineken, the Devki Group, and IHS Africa.

The portfolio highlights a variety of energy solutions, including large-scale hybrid renewable power systems for mining operations, rooftop and ground-mounted solar plants for industrial facilities, and distributed solar and battery setups for telecommunications infrastructure.

Unreliable and costly energy access often is a significant barrier to business expansion in Africa. While service providers can address these issues, many companies struggle to secure the financing needed to obtain stable power. According to the International Energy Agency (IEA), achieving climate targets will require annual investments of $160bn in the energy sector from 2026 to 2030, with the majority of funding expected to come from private sector contributions.

“There is a growing need for innovative energy solutions in Africa. Companies like CrossBoundary Energy are addressing this block holistically through energy systems that are financed, distributed, and led by renewables. Standard Bank is committed to supporting pioneers like CrossBoundary Energy on their growth trajectory” said Standard Bank Energy and Infrastructure, Corporate and Investment Banking senior VP Jeanne-Marie Fatti.

According to Pieter Joubert, president and chief investment officer at CrossBoundary Energy, scalable and affordable infrastructure financing solutions are a catalyst to unlock reliable and affordable power access for businesses on the continent. “Our partnership with Standard Bank will allow us to expand and accelerate energy-as-a-service to African customers, ultimately improving the sustainability and competitiveness of businesses across Africa,” he said.