EAIF and Standard Bank back Alten’s Kesses solar PV of Kenya

14 February 2022
EAIF and Standard Bank back Alten’s Kesses solar PV of Kenya

PIDG-member Emerging Africa Infrastructure Fund (EAIF) and Standard Bank have provided a $76 million debt package for the $87 million, 40MW Kesses solar PV being developed by Alten Kenya Solarfarms near Eldoret, Kenya.

Construction is already underway and is expected to be complete in Spring (2022).

The project was first announced with a 55MWp nameplate capacity but has since been dialled down to 40MW. The energy will be sold to Kenya Power and Lighting Co (KPLC) through a 20-year take-or-pay PPA.

Altern Kenya Solarfams is a local subsidiary of Alten Group.

The debt consists of:

  • EAIF – $35 million
  • Standard Bank – $41 million

The EAIF loan began disbursing in December 2021 – the PIDG-member fund is managed by Ninety One. The Standard Bank figure comprises a term loan, VAT, and debt service reserve facility.

Alten Group previously announced it was working on two 55MW projects – Kesses 1 and Kesses 2 – with the former being in the most advanced stage. The EAIF’s new announcement refers to a solitary Kesses asset, with no mention of a sequel.

The lenders are being advised by:

  • Herbert Smith Freehills – legal
  • Iseme, Kamau & Maema Advocates – local legal
  • NautaDutilh – technical
  • Lahmeyer International – E&S
  • PwC – model audit, local tax adviser
  • Indecs – insurance adviser/broker
  • Willis Towers Watson – insurance consultants
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