Our Approach
Annycent creates value for investors by unlocking opportunities in high-growth emerging markets’ renewable energy sector. We capture core-plus and value-add opportunities in the mid-market segment, with a dedicated focus on de-risking and value creation.
For the first time, the market has an attractive pool of cash-yielding secondary stage assets for sale. Annycent will purchase those assets from motivated sellers to assemble a portfolio of core-plus investments. The portfolio will be complemented with value-add investments in greenfield assets. By entering at an earlier stage, Annycent will get access to the most promising greenfield assets and take active ownership to create de-risked, robust structures.
Secondary Stage Assets
Core-plus investments in commissioned projects, purchased from developers, developer-managed funds or through YieldCos. These projects already earn revenues (typically government-backed) and account for the majority of the Fund portfolio.
Greenfield Assets
Value-add investments alongside selected regional developers in projects in the development phase. By being earlier stage, these projects can provide a higher return for investors and allow the opportunity for enhanced environmental and sustainable development outcomes.
Strategic Investments
Strategic investments will offer an outsized opportunity. Follow-on investments will create additional value, while active equity stakes and platform investments will provide superior access to deal flow.
Strategic Partners
Annycent has formed strategic partnerships with 3 regional developers, each with in-depth expertise in a specific energy-generation technology: wind, solar, and hydro.
The partnerships provide an exclusive origination channel for greenfield and operating renewable energy assets, both from within the partners' existing project portfolios, as well as sourcing projects within their markets.
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Through these partnerships, Annycent has built an advanced, curated pipeline of secondary stage and greenfield assets in Southeast Asia and Africa.
Market Outlook
Low-carbon economic infrastructure in emerging markets is the investment sweet spot, facing an annual shortfall of more than USD 1 trillion of private sector investment despite burgeoning demand. Annycent’s target markets have the most compelling risk/reward profiles – these markets are underpinned by strong long-term growth drivers and attractive investment environments.
01
Growing Demand
The strongest growth in power demand is expected to come from developing countries due to population growth, economic development, and current power deficit.
Emerging markets will account for 75% of global economic growth and 70% of all new renewable energy installation over the next 30 years. Annycent capitalizes on the supply and demand mismatch of renewable energy assets in Southeast Asia, Africa and the Middle East, where high quality, cash-yielding assets are for sale at attractive market prices.
02
Competitiveness
Technological innovation and cost reductions have contributed to a faster growth in renewables than any other energy source in recent years.
In 2021, 66% of all newly installed renewable energy (163 GW out of 247 GW) had lower costs than the world’s cheapest coal-fired options. As market leaders in the emerging market renewable energy market since 2008, members of the Annycent team have helped build these assets and are uniquely placed to identify and unlock value.
03
Resilience
There is global awareness of the climate crisis and the need to develop alternatives to fossil fuels.
Solar, wind and hydro technologies do not require fuel inputs and are thus largely self-sufficient. Renewable sources of energy not only build resilience to volatile prices, they also offer energy independence and budget safety, even more so in the context of supply chain shocks (as illustrated, for example, with the Ukraine War and COVID-19).