Solarcentury Africa Secures US$370 Million Debt Facility from Standard Bank Group and FMO to Expand Its Merchant Solar Portfolio

Standard Bank Group South Africa is finalizing a USD 370 million financing package for Solarcentury Africa to fund its merchant solar expansion and the next phase of the Mailo Solar Plant.

The package is structured as a five-year mini-perm debt facility with an initial committed tranche of USD 86.2 million. That first tranche will fund the Mailo Solar Plant's 59 MW third phase, taking the plant to 120 MW, and will refinance a Standard Bank bridge loan that financed Solarcentury Africa's first merchant solar plants, which are now operational.

Standard Bank South Africa acted as Mandated Lead Arranger on the facility, and Dutch development bank FMO Investment Management is participating as a financing partner, taking a significant share of the first tranche through syndication. Solarcentury Africa's parent company, BB Energy, provided limited-recourse support for the facility.

The facility includes an uncommitted expansion option intended to support Solarcentury Africa's stated target of owning 500 MW of renewable energy assets in the region by 2030. The deal increases lender exposure to merchant-scale solar in the region and supplies developer capital to scale its portfolio.

Solarcentury Africa said its team, including Jason De Carteret, Mark Crossley, Ruan Hough, and Brian Nyangaresi, will be available at the ZimZam event run by EnergyNet Ltd. to discuss the financing and pipeline.