CHAMWE KAIRA
Alpha Namibia Industries Renewable Power Limited (ANIREP) is set to launch a N$5 billion green bond on the Namibian Stock Exchange (NSX) on the back of assessment by S&P Global ratings.
S&P Global Ratings has assessed ANIREP’s green bond framework as dark green, the highest sustainability rating. ANIREP is a renewable energy with a generation mix that is currently 100% solar and most of the proceeds under the framework will be used to finance renewable energy.
ANIREP is in the process of registering a N$5 billion domestic medium term note with the NSX. The debut issue is expected to be launched in the second quarter of 2024, with Standard Bank as the sole arranger and joint sustainability co-alongside the IFC.
ANIREP was listed on the NSX in 2019 and is now included in the FTSE NSX Index Series as the only alternative electricity utility entity on the main board. ANIREP initiated the green bond certification process in 2023, with the support of the International Finance Corporation (IFC).
“IFC’s support to ANIREP is part of our strategy to support the green economy in Africa,” said Indira Campos, IFC’s Acting Country Manager for Angola, Botswana and Namibia.
“This green bond demonstrates the capital market’s role in crowding-in investors for climate-focused financing. This will ultimately support Namibia’s aspirations to transition to a low-carbon economy,” said Campos.
ANIREP provides a bridge for capital markets into utility-scale renewable energy IPP, with in-house EPC capabilities. ANIREP has now created a solid platform with predictable and sustainable long-term cash flows, and recently raised further firepower in the form of equity of N$437 million, by way of a rights issue.
Managing director and group CEO, Iyaloo ya Nangolo said: “We are excited that ANIREP is now set to launch its debut green bond, to add more fire power to complete the construction and development of further renewable energy projects. We have positioned ANIREP to play a pivotal role, as Namibia endeavours to attain self-sufficiency in generating its own electricity. We intend developing more renewable energy generation, to increase ANIREP’s market share of renewable energy generation in the country, to our target of 30% of the forecasted 760MW in Namibia.”
ANIREP now has an asset base of almost N$1 billion and generates sustainable long term cash flows from its long term power purchase agreements.
