Revego Seeks To Invest In Renewable Energy That Will Be Supplied To Unpowered African Countries. Around 600 million people live without electricity in Sub-Saharan Africa. Revego is the sole limited partner that invests in one of the first equity funds to target the Sub-Saharan African renewable energy-focused sector. It is therefore well positioned to capitalise on sub-Saharan Africa’s (SSA) need to make major investments in the electricity sector required over the next 25 years. The intended initial size of the Revego Fund is R1.3–R1.7 billion, with Investec Bank Limited and UK Climate Investments (UKCI) jointly committing R1 billion, in equal proportions, alongside other investors, thereby providing scale and ability to build a diversiﬁed asset base.
Returns are projected to be defensive in nature, stable and tax efficient providing a high yield return profile comparable to being in between government bonds and listed property stocks. Revego will be listed on the JSE, thereby providing an exit mechanism and liquidity for investors. After the listing, Revego will raise equity capital for additional investments as and when attractive opportunities are identified, thereby avoiding any drag on cash.
The Revego Board consists of members with deep industry and corporate knowledge. The Board brings together a unique balance of experience in the renewable energy sector, in Africa and globally, along with fund management expertise and a significant commercial, legal and industrial track record in Africa. The Board members’ experience in the sector should ensure that Revego is the leading voice in renewable energy investment in Africa.
The Fund is a private equity fund and it is structured as a partnership. The following parties are the primary role players in relation to the Fund: the Limited Partner (Revego Africa Energy Limited), the General Partner, the Fund Manager (Revego Fund Managers), the Investment Committee and the Advisory Board.
Revego Fund Manager (RFM) will be responsible for sourcing and managing Revego’s investments in operating renewable energy projects in South Africa, and the broader SSA. RFM has an effective black ownership of 60.1%. Investec is the largest shareholder at 49%. In addition to an experienced management team, RFM has an independent investment committee consisting of industry experts and experienced investment officers.