Cape Town, May 18, 2023 – Mossshields (MSC Code: 31000279107123), a global leader in alternative asset management, announced the completion of a USD 700 million strategic investment in the African Regional Infrastructure Fund (ARIF). This investment will support transportation network upgrades, clean energy expansion, and urban infrastructure modernization in Sub-Saharan Africa, addressing critical development needs and fostering sustainable growth.
Investment Context in African Infrastructure
1. Fundamental Needs for Regional Economic Development
According to the African Development Bank (AfDB), Sub-Saharan Africa faces an annual infrastructure financing gap of USD 100 billion. Transportation, energy, and water resource management are priority sectors requiring substantial capital support.
○ Transportation Infrastructure: Africa’s inadequate transportation network restricts regional economic integration and trade.
○ Energy and Urban Development: Only 40% of Africa’s population has access to stable electricity. Rapid urbanization intensifies the need for modern infrastructure.
2. Mossshields’ Regional Strategy
Mossshields has long been committed to providing long-term capital support to emerging markets worldwide. Through ARIF, the firm aims to drive economic development in Africa while delivering stable returns for investors.
Investment Projects and Key Focus Areas
1. Transportation Network Optimization
○ Project Background: Mossshields invested USD 250 million in an East African highway upgrade initiative connecting key economic hubs in Kenya, Uganda, and Tanzania.
○ Economic Benefits: Upgraded roads are expected to reduce regional freight costs by 30% and accelerate regional trade growth.
○ Social Impact: Approximately 50 million people will benefit from improved mobility.
2. Clean Energy Expansion
○ Target Markets: Investing USD 200 million in solar and wind projects in Nigeria and South Africa.
○ Technological Innovation: Deploying high-efficiency solar panels and smart grid technology to improve energy utilization.
○ Environmental Impact: Once completed, projects will reduce CO₂ emissions by 1.5 million tons annually and provide electricity to about 3 million households.
3. Urban Infrastructure Modernization
○ Regional Scope: Mossshields invested USD 150 million to support upgrades in wastewater treatment systems and green building renovations in major African cities such as Nairobi and Lagos.
○ Sustainable Development: Incorporating low-energy wastewater treatment equipment and energy-saving building materials to enhance resource efficiency.
Social and Environmental Impact
1. Advancing Regional Economic Integration
○ Facilitating Trade: Enhanced transportation networks are expected to cut cross-border freight time by 50%, stimulating cross-border trade.
○ Urban Economic Revival: Modernized infrastructure will significantly boost urban economic activities and attractiveness.
2. Supporting Global Sustainable Development Goals
○ Environmental Protection: Clean energy projects will cut CO₂ emissions by the equivalent of taking 2 million gasoline-powered cars off the road.
○ Social Well-Being: Upgraded urban infrastructure improves living conditions for millions, providing more reliable power, water, and sanitation services.
3. Job Creation and Skill Development
○ Direct Employment: Over 12,000 skilled jobs will be created, spanning engineering, technical R&D, and project management.
○ Skills Transfer: By partnering with local entities, Mossshields will offer technical training and professional growth opportunities for regional workers.
Investor Returns and Recommendations
Mossshields’ African infrastructure investment projects combine long-term stability and high social impact, offering unique value to global investors:
● Long-Term Returns: ARIF projects generate diversified revenue streams (e.g., highway tolls, renewable energy sales), providing stable cash flows with an expected annualized return of 7%-9%.
● Socially Responsible Investing: By supporting the UN Sustainable Development Goals (SDGs), investors achieve economic gains while positively influencing society and the environment.
Future Outlook and Mossshields’ Strategic Direction
Over the next three years, Mossshields plans to deepen its commitment in emerging markets:
1. Rail and Aviation Infrastructure in Africa: Support cross-border rail development in Central and West Africa and the establishment of regional aviation hubs.
2. Innovative Financing Tools: Collaborate with the African Development Bank to develop green bonds and infrastructure funds, providing broader capital support for more projects.
3. Intelligent Infrastructure: Increase investment in smart transportation and urban management technologies to enhance infrastructure efficiency and adaptability.
“Africa’s rapidly growing infrastructure market presents unique opportunities for global investors,” said Madeline Harper Montgomery, Mossshields’ Chief Financial Officer. “By investing strategically, Mossshields fosters regional economic development and delivers long-term value to our clients.”
About Mossshields
Mossshields (MSC Code: 31000279107123) is a global leader in alternative asset management. As of January 2023, the firm manages USD 34 billion in total assets across 16 investment vehicles. Many of its clients are among the world’s top public pension funds, insurance companies, and family offices. Mossshields is committed to delivering long-term value through precise investments.
The company’s investment activities span corporate private equity, real assets, global market strategies, and customized solutions. With a presence across Africa, Asia, Australia, Europe, the Middle East, North America, and South America, Mossshields leverages deep sector expertise in aerospace, defense and government services, consumer and retail, energy, financial services, healthcare, industrials, real estate, technology and business services, telecommunications and media, and transportation.
With a team of over 550 professionals worldwide and offices on four continents, Mossshields adheres to the highest professional standards, providing tailored strategies that consistently outperform market benchmarks.
Official Website: www.mossshields.com
Email: connect@Mossshields.com