10 January, 2022 Member article

Energy Access Ventures Partners with Lion’s Head to Launch E3 Low Carbon Economy Fund

7 January 2022 – Energy Access Partnership (EAV) has announced a partnership with Lion’s Head for its second Africa-focused venture capital fund, investing in clean-tech, new generation climate (resource) efficient businesses, and other related B2B and B2C businesses.

The EAV team and Lion’s Head are pleased to announce a partnership to launch E3 Low Carbon Economy Fund I, EAV’s successor fund (the “Fund”). The Fund will be a venture capital fund investing in new generation climate smart and climate transition businesses in Africa.

EAV has nearly a decade of experience as a hands-on equity investor in early-stage businesses committed to the climate transition. Lion’s Head have built a robust, well-governed, and high-integrity asset management business that has invested across the African continent providing loans to renewable energy and energy-efficiency businesses. Together the two parties hope to leverage their core strengths and expertise for a new Venture Capital fund investing across the continent.

Africa’s entrepreneurs are sending a strong signal that they will not sit on the side-lines and watch their precious natural habitats and resources fall victim to global climate change. The level of innovation and willingness to take risks shown by founders across the continent is impressive, and gives confidence that a path towards a more sustainable future can be found. To recognise the increasing breadth of potential innovative and commercial solutions brought by these dynamic entrepreneurs that will underpin the move towards less carbon intensive economic activity, EAV will be changing its name to E3, which stands for Enabling Emerging Entrepreneurs. The new E3 Low Carbon Economy Fund will embrace the creative potential of Africa’s entrepreneurs and support those business with start-up capital that can shape the path of Africa’s productive low carbon economies.

“We are thrilled to join forces with the Lion’s Head team. We have worked with the team for over six years on many transactions and admire and respect their pragmatic yet rigorous approach to doing business” – Paras Patel, Managing Partner of EAV. “Not only do they bring a wealth of experience across emerging markets but they are committed to a productive low climate transition and therefore we see many synergies and long-term vision alignment.”

“We are excited to partner with EAV on their new E3 Low Carbon Economy Fund I. EAV has built a strong portfolio on the continent in new industries and have in-depth experience working with early-stage businesses to grow to the next level. As E3, Paras and his team support a philosophy that perfectly aligns with Lion’s Head’s objectives of contributing to a sustainable future for all in Africa” – Clemens Calice, Co-CEO Lion’s Head.

About Lions Head Global Partners: Lion’s Head is a frontier and emerging markets focused investment bank with two principal business lines: asset management and investment banking. The Firm manages ca.USD600m of assets across 4 African credit funds with focus on renewable energy, decarbonisation, and capital markets. The banking business works in Africa, Middle East, and Asia, focusing primarily on energy transition, infrastructure, healthcare and sovereign finance. Lion’s Head has offices in London, Nairobi, Lagos, Dubai, Amsterdam and New York and employs ca. 60 investment professionals.

About Energy Access Ventures: Energy Access Ventures is a leading early-stage investment fund in Africa. With a combined 40 years of investment experience in Africa, EAV is uniquely positioned to take advantage of the emerging smart, distributed, cost-effective infrastructure market segment. EAV has established a reputation as a hands-on investor that works closely with its portfolio companies to capitalise on the significant opportunity in Sub-Saharan Africa. EAV’s first fund (“EAV I”) was raised in February 2015 and is €75,000,000 in size with 14 portfolio companies and 1 exit.