World Bank Group member International Finance Corporation (IFC) and the IFC Global Infrastructure Fund (GIF) have jointly invested $100m in Orazul Energy Partners to promote transition to lower carbon and cleaner energy sources in Latin America.
GIF is a fund managed by the IFC Asset Management Company (AMC), while Orazul Energy Partners is an affiliate of Orazul Energy owned by I Squared Capital.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataOrazul Energy acquired the power assets from Duke Energy International, an electricity generation and distribution business in Brazil. With the combined investment, Orazul Energy will be able to develop additional renewable power projects in Latin America, with an aim to balance electric system loads and help ensure continuous and reliable sources of energy.
I Squared Capital partner Adil Rahmathulla said: “We are honoured to have IFC and GIF join us in this partnership to help grow Orazul Energy.
“I Squared Capital sees strong growth potential for renewables in Latin America and the partnership will help provide cleaner and more reliable energy sources to the region.”
By 2040, energy use in the region is expected to increase by more than 80%, boosting the area's economic development. With the rising use of energy, it is imperative to reduce dependence on carbon-intensive power generation and enhance supply of clean and affordable electricity to the natives.
IFC's GIF co-head Viktor Kats said: “We are pleased to have had the opportunity to partner with I Squared Capital and IFC to invest in Orazul.
“We see Orazul as the ideal base to develop a balanced power platform across Latin America, providing clean and economical power to fuel growth across the region.”
The $100m financing package comprises a $50m equity investment from IFC and another $50m equity investment from GIF, which is managed by Asset Management Company (AMC).