African Rainbow Energy Expands Control In SOLA Group With 83% Stake In South Africa

African Rainbow Energy (ARE), a clean energy investment company founded and chaired by South African billionaire Patrice Motsepe, has expanded its presence in the renewable energy sector by increasing its shareholding in the SOLA Group from 41% to 83%. The move gives ARE majority control of the business and strengthens its position in South Africa’s growing clean energy market.

The acquisition brings a renewable energy portfolio worth more than R20 billion, or around US$1.2 billion, under the management of African Rainbow Energy. With this development, the company has created one of the largest independently owned renewable energy platforms in South Africa. The deal is expected to support the country’s efforts to improve electricity reliability and increase the use of sustainable energy sources.

The SOLA Group has built a strong reputation in South Africa for developing commercial and industrial solar energy projects. The company focuses on helping businesses reduce dependence on coal-based electricity while improving energy security. Over the past five years, ARE and SOLA Group have worked together on several renewable energy initiatives, delivering innovative clean energy solutions for businesses across the country.

Following the latest transaction, the companies plan to increase investments in large-scale renewable energy projects, energy wheeling, and battery energy storage systems. Energy wheeling allows electricity generated at one location to be transported through the national grid and supplied to customers at another location. This model is becoming increasingly important for large industrial and commercial consumers looking for flexible and reliable clean energy options.

Industry observers believe the deal highlights growing investor confidence in South Africa’s renewable energy sector. As the country continues its transition toward a low-carbon economy and Net Carbon Zero goals, private sector investments are playing a key role in supporting energy development and reducing pressure on traditional power utilities. The transaction also reflects the increasing role of privately funded renewable energy projects in addressing power shortages and strengthening the national grid.

By taking majority control of the SOLA Group, African Rainbow Energy is positioning itself as a major player in Africa’s energy transition. The expansion is expected to accelerate the development of renewable infrastructure and support the broader shift toward cleaner and more sustainable electricity generation across the region.