Actis' real assets energy fund, Actis Energy 5 (AE5), secured over $6 billion investment in February to target energy transition investments globally.
With its impact-linked credit and just transition tool, the fund represents an innovative approach to renewable energy-focused asset management.
Arranged by Citi and Standard Chartered, its impact-linked subscription credit facility provided $1.2 billion to the fund. Its hybrid format incentivises loan proceeds to projects that will deliver social and environmental improvement, especially:
- In energy sectors that contribute to climate change mitigation;
- In a country where energy access is limiting economic growth; and
- That creates 'new positive impact'.
The fund is also guided by Actis' Smart Olive Transition Tool which identifies appropriate assets for delivering a 'just' global energy transition. It sorts investments on a transition scale to prioritise those that can be adapted to have a role in a decarbonised world – or 'smart olive' investments .
Alongside AE5 it also runs the gender diversity programme at Latin American renewable energy company Atlas, which ensures every recruitment includes at least one female candidate. This has resulted in female representation rising from 11% to 40% at corporate level since 2017, Actis said.
It has also established the Atlas Women Workforce Programme which has trained over 400 women on technical skills needed for solar panel installation and maintenance.
Shami Nissan, partner and head of sustainability at Actis, said: “We are thrilled to be awarded Real Assets Manager of Year for our sustainability leadership. Actis has been investing in sustainable infrastructure globally since 2004, creating sustainability leaders within its portfolio – companies that lead the way and set the bar on global sustainability best practice, deliver measurable positive outcomes, are resilient and futureproofed and more valuable as a result.
"Actis will continue to invest in critical infrastructure assets which catalyse systemic change and help the world to align to a Net Zero pathway.”