We take viable initiatives nurtured by public institutions into the investment reach of the mainstream private sector.
Annycent is assembling a portfolio of Core/Core plus like operational assets, supplemented by investments in greenfield assets and in strategic partnerships (primarily regional project developer platforms). Our renewable energy generating assets are cash-yielding, low-volatility investments backed by long-term power purchase agreements.
Annycent has formed strategic partnerships with 3 regional developers, each with in-depth expertise in a specific energy-generation technology: wind, solar, and hydro.
Annycent has built an advanced, curated pipeline of USD 290M+ in greenfield and operating assets, comprised of 14 deals in South-East Asia and Africa, with a total capacity of 1.1 GW. Annycent has recently closed its first transaction in Kairos Renewables.
Investments in commissioned, or partially commissioned, projects purchased from developers or developer-managed funds, already earning revenues (typically government-backed), account for the majority of the Fund portfolio.
Value-add investments in projects in the development phase. By being earlier stage, greenfield assets can provide a higher return for investors and allow the opportunity for enhanced environmental and sustainable development outcomes.
Investments in project developers located in the Fund’s target geographies allow Annycent to secure a pipeline of direct investments. Annycent picked the best project developers to partner with, leveraging relationships with the top-performing developers. Those active equity stakes secure Annycent preferred access to the best-performing greenfield assets.
Annycent has formed relationships with three Strategic Partners
The partnerships provide an exclusive origination channel for greenfield and operating renewable energy assets, both from within the partner’s existing project portfolios, as well as sourcing projects within their markets.
Kairos is a co-development partner of choice for leading regional conglomerates Aboitiz and Ayala, both based in the Philippines.
Kairos has a strong network of international financing partners including SCAF (UN Environment Program and UK AID) and the South-East Asia Clean Energy Facility (SEACEF), a leading regional energy transition fund whose investors include the European Climate Foundation and the Microsoft Climate Innovation Fund.
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 are underpinned by strong long-term growth drivers and attractive investment environments.
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. There is an arbitrage opportunity created by supply and demand mismatch of renewable energy assets in South-East Asia, Africa and the Middle East. High quality, cash-yielding assets are for sale at attractive market prices.
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.
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).