RMB brought together four BEE entities to pool their renewable energy assets into one vehicle called iThokazi. RMB arranged and provided a R310 million facility to iThokazi, which now owns shares in a total of eight renewable energy projects – two wind farms and six solar photovoltaic projects, with a total capacity of 300 megawatts.
Through the effective merger of these existing black-owned engineering businesses, the transaction has created one of South Africa’s largest 100% black-owned independent power producers. iThokazi not only delivers black ownership, but creates a BEE entity that has the critical mass and ability to offer engineering services to the renewable energy sector.
Moneyweb editor Ryk van Niekerk chats to Kwabena Malgas, infrastructure finance transactor at RMB, and iThokazi director and shareholder Sakhamuzi Dumakude about the deal in more detail.
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