STANLIB launches Khanyisa Energy Transition Fund

STANLIB has launched the STANLIB Khanyisa Energy Transition Fund to mobilize much-needed capital from long-term investors to help finance South Africa’s energy transition needs.

Seeded with ZAR 3 billion (USD 158 Million) in assets from Standard Bank and Liberty through the Renewable Energy Independent Power Producer Programme (REIPPP), the Fund begins with substantial scale and diversity and is anticipated to evolve into a USD 1 billion fund progressively. Geared towards retirement funds, life insurance firms, fixed-income asset managers, and Development Finance Institutions (DFI), the Fund aims to yield attractive risk-adjusted returns. It will achieve this through a credit instrument portfolio initially focused on South African entities, expanding to encompass other African entities over time. The instrument mix includes investment-grade South African corporate debt, asset-backed finance, development, and project finance. The Khanyisa Energy Transition Fund's target assets span renewable energy, decentralized energy, transitional gas, critical minerals, green hydrogen infrastructure, and the comprehensive transport ecosystem supporting the shift to hybrid and electric vehicles.