InfraCo Africa Sells Stake in Golomoti Solar Project to Old Mutual Malawi

InfraCo Africa Ltd (InfraCo), part of the Private Infrastructure Development Group (PIDG), has signed an agreement to sell its 25% stake in Golomoti JCM Solar Corporation Ltd to Old Mutual Infrastructure Investment Trust Fund (Malawi). The fund, managed by Old Mutual Investment Group’s Alternative Investments, is expected to reduce currency exchange risks on the project while attracting further investment into Malawi’s renewable energy sector.

The 20MWac Golomoti solar plant, located in Dedza District, about 100km southeast of Lilongwe, was commissioned in 2022. The facility includes a 5MW Battery Energy Storage System (BESS), making it the first grid-connected, utility-scale hybrid solar and storage plant in sub-Saharan Africa. The battery system, developed with support from Innovate UK’s Energy Catalyst and RINA, helps stabilize the supply of renewable energy to Malawi’s national grid.

Ravi Dhanani, PIDG Senior Asset Manager for InfraCo, highlighted the significance of the deal, stating, “We are excited to be engaging with Old Mutual Malawi, which is committed to Responsible Investing, and to supporting Malawi’s renewable energy sector as part of its diversified infrastructure portfolio. This transaction epitomises PIDG’s project development offering and aligns well with our Group-wide strategy to unlock new sources of funding for sustainable infrastructure.”

The project’s transition to Old Mutual Malawi’s ownership aligns with the country’s Malawi 2063 vision, which prioritizes bankable infrastructure projects—particularly in the renewable Independent Power Producer (IPP) sector—to attract private investment and expand energy access. Mphatso Kasalika, Acting Managing Director of Old Mutual Investment Group, emphasized the strategic nature of the investment, stating, “It is a demonstration of a mutually beneficial strategy, where investors can expect solid returns from non-traditional investments, with significant economic and social impact, as the country seeks to expand and diversify energy generation.”

InfraCo, alongside JCM Power and additional grant funding from PIDG, has actively supported community initiatives in Golomoti. These efforts include installing nine boreholes, providing safe drinking water for over 2,000 people, developing sustainable agriculture projects, constructing a grain storage facility, and investing in local education and healthcare. The project has also incorporated agrivoltaics, using land beneath the solar panels for chili farming, beekeeping, and sheep grazing, showcasing innovative land-use practices.

The deal is expected to be finalized in August, with JCM Power continuing to operate the Golomoti solar plant, while Old Mutual Malawi will appoint a director to the company board. This transaction represents a significant step in enhancing Malawi’s renewable energy sector, demonstrating how private investment and innovative financing can drive the country’s clean energy transition.