Wedoany.com Report-Jun 23, Independent power company Globeleq has signed a share purchase agreement with Norwegian investment fund Norfund to acquire a 51% equity stake in Zambia’s Lunsemfwa Hydro Power Company (LHPC). Wanda Gorge Investments, a Zambia-based infrastructure investment firm, will retain the remaining 49% stake. The transaction is set to finalize in the second half of 2025.

The transaction is expected to be completed in the second half of 2025.

This agreement marks Globeleq’s entry into Zambia’s energy market, enabling the company to provide solutions for energy-intensive consumers in both public and private sectors. It also represents Globeleq’s first hydropower project in Africa, diversifying its renewable energy portfolio, which includes solar, wind, battery storage, hybrid systems, and geothermal plants. Globeleq is developing over 400MW of solar, wind, and battery storage projects in Zambia, including the 54MWp Kafue solar project under the GETFiT Zambia program.

LHPC, located in Kabwe, Central Province, Zambia, operates two hydroelectric plants with a combined capacity of 56MW and is developing a 20MW solar project. The company supplies electricity to public utilities, such as the Zambia Electricity Supply Corporation, and private firms, including Copperbelt Energy Corporation and Jubilee Metals. LHPC also holds a trading license for the Southern African Power Pool (SAPP).

Globeleq’s CEO Jonathan Hoffman stated: “We are excited about this opportunity to enter the Zambian market. LHPC’s established team, operations and trading capabilities combined with our extensive experience in Africa, create a strong platform to support Zambia’s broader energy objectives and deliver solutions to a range of energy consumers in the region.”

Norfund investment director Øystein Øyehaug commented: “In seeking a partner for this transition, our priority was to find the right investor — one with the capability to manage well, enhance operational performance, elevate standards and unlock the long-term growth potential of LHPC. With more than 20 years of experience operating in Africa, we are confident that Globeleq is the right fit to lead the LHPC into its next chapter.”

The acquisition strengthens Globeleq’s presence in Africa’s renewable energy sector and supports Zambia’s energy goals by enhancing local power supply capabilities and fostering sustainable development.