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The Competition Commission has approved a significant foreign investment in South Africa’s renewable energy sector, giving the go-ahead for Norway’s state-owned development finance institution, Norfund, to acquire a stake in independent power producer (IPP) Anthem Holdings.
Following its review, the Commission concluded that the transaction is unlikely to substantially lessen or prevent competition in any relevant market. It also determined that the deal does not raise material public interest concerns, paving the way for the investment to proceed.
Founded in 1997, Norfund is a development finance institution owned and funded by the Norwegian government. The fund invests on commercial terms in renewable energy and other sustainable development projects across emerging markets, with a strong focus on climate-positive infrastructure.
Anthem Holdings is a large-scale renewable energy developer, financier, constructor, and operator focused on utility-scale projects in South Africa. The company was established in September 2025 through the merger of African Clean Energy Developments and Energy Infrastructure Management Services Africa. Both entities previously formed part of the R30-billion IDEAS Fund, managed by Old Mutual’s African Infrastructure Investment Managers (AIIM).
Anthem has built a substantial presence in South Africa’s renewable energy landscape. Its operational portfolio includes 17 projects — comprising seven wind farms and 11 solar farms — with a combined installed capacity of 1,100MW (1.1GW). Several of these facilities rank among the country’s earliest IPP-operated renewable energy plants, with the first achieving commercial operation in 2014.
In addition to its existing assets, Anthem is currently constructing four projects with a combined capacity of 445MW. A further three projects, totalling 1,200MW, are nearing financial close. Looking ahead, the company aims to expand its portfolio to 6,000MW. Over the longer term, it has identified a greenfield development pipeline of approximately 11,000MW, underscoring its ambitions to become one of the country’s leading renewable energy platforms.
The transaction will inject 970 million Norwegian kroner (approximately R1.44 billion) into Anthem. The bulk of the funding — 685 million NOK (around R1.15 billion) — will be contributed through Norfund’s Climate Investment Fund. An additional 170 million NOK (approximately R285 million) will be invested via a joint investment vehicle that is 51% owned by KLP, Norway’s largest pension fund manager, and 49% owned by Norfund. The capital injection is expected to strengthen Anthem’s balance sheet and accelerate the rollout of new renewable energy projects across South Africa.
In a related development, the Competition Commission also approved the acquisition of a stake in Anthem by Mahlako Energy Fund, a 100% black women-owned fund manager. The transaction enhances the company’s ownership diversity and aligns with South Africa’s transformation objectives.
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Further bolstering its financial position, Anthem recently secured an R8.5-billion multi-purpose facility with Rand Merchant Bank acting as the initial mandated lead arranger and house bank. This facility provides additional funding flexibility to support the company’s growth strategy. Together, these developments mark a significant milestone for Anthem as it scales up its renewable energy footprint and contributes to South Africa’s energy transition.
