A strategic investment in Africa
The International Finance Corporation (IFC), an entity affiliated with the World Bank, announced an investment of $30 million in Inspired Evolution Fund III, a private equity fund specializing in renewable energy. This fund, designed to meet the growing needs for energy infrastructure in sub-Saharan Africa, is managed by the Mauritian company Inspired Evolution Managers Limited.
Launched in 2022, the fund aims to raise a total of $400 million. To date, it has raised $222.4 million through two successive closes. At the first close, in 2023, $199.4 million was raised, with significant contributions from institutions like the African Development Bank (AfDB) and the European Investment Bank (EIB). A second phase, completed in the first half of 2024, added another $23 million from new investors.
Financial and operational objectives
The main objective of this investment is to support projects related to renewable energy and energy efficiency in targeted regions. Priority intervention areas mainly include sub-Saharan Africa, with potential expansion to certain markets in North Africa.
For the IFC, this operation is part of a broader strategy to diversify its global portfolio. By integrating assets into the African energy sector, IFC aims to exploit the return opportunities offered by a high-potential market while strengthening its position in a booming sector.
An experienced player in private equity
Since its founding in 2007, Inspired Evolution Managers Limited has established its reputation by participating in the financing of over 2 GW of energy capacity in Africa. Its approach is based on targeted investments, combining growth capital and infrastructure development.
The fund’s past performance shows an ability to capture funding from international institutions and direct it towards concrete projects, mainly in promising sectors such as wind, solar and energy efficiency technologies. These projects are not only chosen for their potential impact, but also for their economic viability and return on investment.
A competitive energy sector
Sub-Saharan Africa is considered a strategic region for energy development. This market attracts global investors due to its significant infrastructure needs and its growth potential. However, competition remains high, and funds such as Inspired Evolution must balance risk and opportunity management.
With this operation, the IFC aims to strengthen its presence on the continent while meeting specific financial requirements. This approach is aligned with its institutional development objectives while remaining oriented towards economic results.
