African Rainbow Capital (ARC), the investment holding company led by renowned South African billionaire Patrice Motsepe, has made a strategic move in the renewable energy sector by acquiring a minority stake in GoSolr, a Johannesburg-based residential solar energy company.
The acquisition marks a significant step for both ARC and GoSolr, with the former seeking to contribute to accelerating solar energy adoption in South Africa.
GoSolr, founded in 2021, has been at the forefront of making solar energy accessible, affordable, and flexible for all, expanding its installations from Cape Town to other major metropolitan areas in 2022.
The deal, which was recently finalized for an undisclosed sum, aligns with ARC’s long-standing commitment to invest in sustainable energy solutions across Africa.
In 2020, ARC, along with its investment advisory firm ARCH Emerging Market Partners, dedicated R249 million ($14 million) to developing and financing commercial and industrial solar assets on the continent.
“By securing an interest in GoSolr, we aim to join the movement towards a cleaner and more sustainable energy future for South Africa,” said Johan van Zyl, co-CEO of ARC. “We firmly believe that GoSolr will bring substantial value to our investment portfolio and benefit clients beyond our existing portfolio.”
As the country faces challenges with its power utility Eskom struggling to provide consistent electricity supply, South African households, and businesses are increasingly exploring alternative energy solutions. Rooftop solar, in particular, has gained popularity, and GoSolr intends to capitalize on this opportunity by offering affordable, smart, and secure residential solar solutions.
One of the key aspects of GoSolr’s approach is its “solar-as-a-service” model, where households can access solar PV solutions through fixed monthly fees. This innovative approach aims to make solar energy more accessible, driving increased adoption among households.
ARC, established in 2015 as a subsidiary of Motsepe’s Ubuntu-Botho Investments, has consistently focused on identifying opportunities in the South African and African financial services and diversified investment industries. The company’s origins trace back to 2004, with Ubuntu-Botho Investments aiming to foster black-controlled capital.
With this latest acquisition, ARC, under the leadership of Motsepe, reinforces its commitment to building a greener future while also contributing to economic growth and environmental sustainability.
