AFRICA GREEN TRANSITION PPP FUND is under construction. All information provided is for pre-marketing purposes only and does not constitute an offer to invest. Luxembourg regulatory approval anticipated Q2 2026.
Investing in Africa's green future is not aid, it's opportunity.
Our mission is simple: to mobilize sustainable finance, earn attractive, downside protected returns, accelerate green industrialization, and empower Africa to lead its own just energy transition.
Capital Deployment Model
AGTPF deploys capital through a structured, phased approach designed to balance risk, return, and sustainability across the fund's 12-year term.
Flexible Build-Up Phase
During the first three (3) years, the Fund maintains flexibility to deploy capital into priority infrastructure projects without strict diversification limits. This enables efficient execution of large-scale, high-sustainability energy investments.
Value Creation & Scaling Phase
- Portfolio expansion and optimization across platforms
- Refinancing and capital structuring to enhance returns
- Integration of operational efficiencies and asset performance improvements
Harvest Period
During this phase, the portfolio transitions into stable, income-generating assets:
- 70% – 90% of the portfolio expected to be fully operational
- Generation of predictable, contracted cash flows (e.g., PPAs, offtake agreements)
- Focus on yield distribution and value realization
- Selective exits, refinancing, or long-term hold strategies
Target Returns
The Fund targets a gross IRR of 12% – 17%, depending on:
- Technology (solar, hydro, transmission, storage)
- Project stage (greenfield vs. operational)
- Country and regulatory environment
Deployment Strategy
- 70% – 85% of capital deployed
- Across 10 – 15 platform investments
- Typical investment size: EUR 40m – 150m+ per platform
Geographic Allocation
- Maximum 60% exposure per country
Sector Balance
- Hydropower capped at 40%
Risk & Capital Management
- Currency and interest rate risks may be hedged
- Liquidity maintained through short-term instruments
- Use of project and fund-level leverage to optimize returns
Regulatory Alignment
The Fund operates in accordance with Luxembourg RAIF standards, ensuring:
- Robust governance
- Institutional-grade risk spreading
- Strong investor protection
Investment Filters Framework
Every project in the AGTPF pipeline is evaluated against a rigorous multi-dimensional filter framework before entering the active investment process.
Country & Regulatory Risk
Assessment of political stability, regulatory framework maturity, rule of law, and sovereign creditworthiness. Priority given to countries with established IPP frameworks and DFI presence.
Technology Readiness
Projects must utilise proven, bankable technologies with established supply chains. Technology-agnostic approach across solar PV, wind, hydro, BESS, and transmission infrastructure.
Offtake & Revenue Visibility
Preference for projects with long-term PPAs, sovereign-backed offtake agreements, or established grid connection frameworks providing revenue certainty over the fund's investment horizon.
Sustainability & Alignment
All investments will target to comply with IFC Performance Standards and demonstrate measurable climate and development sustainability, including CO₂ avoidance, energy access, and job creation metrics.
Return Profile
Target IRR of 12–17% depending on technology and risk profile. Projects must demonstrate a credible path to financial close and bankable financial model with appropriate risk-adjusted returns.
Local Partnership
Strong preference for projects with established local sponsors, community engagement frameworks, and local content commitments. AGTPF actively supports local capacity building.