Savannah Energy To Acquire Norfund’s Stake In Klinchenberg BV For $65.4m

Savannah Energy Plc has said, its wholly owned subsidiary, Savannah Energy EA Limited has signed a stock acquisition statement with Norfund, the Norwegian concern money for processing countries, to get its existent 50.1 per cent involvement successful Klinchenberg BV for a full information of up to $65.4 million.

The SPA was signed yesterday during a ceremonial attended by the Trade Commissioner for Africa, John Humphrey. The signing marks Savannah’s introduction into Uganda, Burundi, the Democratic Republic of Congo, Malawi and Rwanda.

Klinchenberg is simply a associated task institution presently owned by Norfund (50.1 per cent) and British International Investment (49.9 per cent), the UK’s improvement concern institution.

Klinchenberg has interests successful a portfolio of hydropower assets, namely: an indirect 13.6 per cent involvement successful the operating 255 MW Bujagali run-of-river hydropower works successful Uganda; an indirect 12.3 per cent involvement successful the 361 MW Mpatamanga hydropower improvement task successful Malawi; and an indirect 9.8 per cent involvement successful the 206 MW Ruzizi III hydropower improvement task spanning Burundi, the Democratic Republic of the Congo and Rwanda. All interests are presented connected an expected nett to Savannah basis.

The information includes a $6.8 cardinal deferred currency element, payable 3 years post-completion of the Transaction, and contingent payments successful respect of Mpatamanga and Ruzizi III payable upon fiscal adjacent of these projects. The Transaction is taxable to customary adjustments upon completion and is expected to implicit nary earlier than Q1 2026.

The SPA has an economical effectual day of 31 December 2024. The Consideration is expected to beryllium funded by Savannah Energy EA done a caller $37.4 cardinal indebtedness facility, arranged by a starring planetary bank, and the existing currency resources of the company.

Trade Commissioner for Africa, John Humphrey said: “I americium delighted to spot Savannah Energy Plc, a UK investor, taking a involvement successful these important renewable vigor projects crossed East and Central Africa. This concern reflects the UK’s committedness to sustainable improvement connected the continent and supports the occurrence of projects that volition present cleanable vigor and economical opportunities successful the region.”

The main enforcement officer, Savannah, Andrew Knott said, “we are delighted to beryllium announcing our planned introduction into the Bujagali, Mpatamanga and Ruzizi III hydropower projects done the acquisition of Norfund’s involvement successful Klinchenberg. Bujagali is simply a flagship East African powerfulness works with an fantabulous 13-year operating and outgo way record.

“Mpatamanga and Ruzizi III are advanced-stage developments which are expected to make highly competitively priced energy successful their respective countries for the payment of implicit 30 cardinal people.  Each task has a beardown concern radical which we are excited to join.”

He explained that, “the transaction marks the archetypal of respective transactions that we expect to denote implicit the people of the adjacent 24 months successful the African powerfulness abstraction and provides america with a ground for further integrated and inorganic maturation successful each of Uganda, Burundi, the Democratic Republic of Congo, Malawi and Rwanda.”