CrossBoundary Energy has secured a $140m senior debt commitment from Standard Bank of South Africa to expand its renewable energy portfolio across Africa.

The transaction underscores the role of commercial funders in supporting renewable energy solutions for businesses across the continent.

The $140m financing is the first tranche of a broader mandate with Standard Bank, which aims to arrange $300m in senior debt.

Standard Bank of South Africa senior vice-president for energy and infrastructure, corporate and investment banking Jeanne-Marie Fatti stated: “There is a growing need for innovative energy solutions in Africa.

“Companies like CrossBoundary Energy are addressing this block holistically through energy systems that are financed, distributed and led by renewables. Standard Bank is committed to supporting pioneers like CrossBoundary Energy on their growth trajectory."

CrossBoundary Energy offers financed renewable-led power solutions to African enterprises.

Its current portfolio includes $570m worth of projects across 18 African countries, featuring 330MW of solar and wind assets and 178 megawatt hours of battery energy storage solutions.

The funding will support the scaling of CrossBoundary Energy's renewable energy projects for commercial and industrial clients across Africa, where access to reliable and affordable power is a significant challenge for business growth.

Despite the potential of service providers, access to finance remains a major barrier for companies seeking power solutions.

The International Energy Agency (IEA) estimates that $160bn annual investment is needed between 2026 and 2030 to meet climate goals, with the majority expected from the private sector.

CrossBoundary Energy president and chief investment officer Pieter Joubert stated: "Scalable, affordable infrastructure financing solutions are a catalyst to unlock reliable and affordable power access for businesses on the continent.

“Our partnership with Standard Bank will allow us to expand and accelerate energy-as-a-service to African customers, ultimately improving the sustainability and competitiveness of businesses across Africa."

CrossBoundary Energy received support from Cygnum Capital as exclusive financial adviser and Bracewell (UK) as borrower’s counsel. Trinity International acted as lenders’ counsel on this transaction.