2025 Annual - (released February 2026)
SA's quarterly Private Equity & Venture Capital magazine
2025 PRIVATE EQUITY DEAL OF THE YEAR
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Catalyst magazine has always prided itself on recognising excellence in the South African private equity industry. This is the 21st year in which the Private Equity Deal of the Year has been awarded. Nominations were received from advisory firms and judged by the Independent Panel, consisting of Nicky Newton-King, Phuthi Mahanyele-Dabengwa and James Formby.
Norfund and Mahlako investment in Anthem
With US$3,2bn of assets under management, AIIM is a member of Old Mutual Alternative Investments and has a 25-year track record of investing in infrastructure across the continent. Its IDEAS Fund, Anthem’s majority shareholder, has a value of over R30bn, with equity in economic, social and renewable energy infrastructure projects, including Anthem’s wide array of projects.
Norfund, owned and funded by the Norwegian Government, is the $3,8bn Norwegian Investment Fund for developing countries, with a mission to create jobs and improve lives by investing in businesses that drive sustainable development.
Mahlako Energy Fund is managed by Mahlako a Phahla Financial Services, a subsidiary of Mahlako a Phahla Investments, a 100% black women-owned investment and advisory firm with a strong track record in energy, infrastructure and other strategic sectors.
Anthem supplies clean energy to Eskom, medium to large private power users, and traders or aggregators through:
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17 projects in operation, generating over 1.1 GW
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4 projects in construction, totalling 445 MW
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3 projects in financial close, totalling 1.2 GW
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Providing operations and maintenance services to nearly 500MW of its own PV projects
The platform operates under the management of AIIM, and the launch was supported by equity capital commitments of R4,2bn from domestic and international investors. The size of Norfund and Mahlako’s respective investments was not publicly disclosed.
For Mahlako, the investment sees significant long-term potential and an unmatched footprint in the making. Anthem is a game-changer, ensuring the broad participation of South Africa’s retirement savers through Mahlako’s involvement.
The transaction also results in increased Historically Disadvantage Persons ownership. The transactions brings together a diversified shareholder group with access to significant additional capital, international best-in-class governance standards, and complementary experience in developing renewable energy companies.
With expansion plans into Southern Africa, it is set to become one of the primary vehicles for large-scale renewable energy investment in the region. The company has big plans for solar, battery and wind energy projects in South Africa, targeting 6GW of capacity by 2030, and the expansion of its operations across the Southern African Development Community (SADC) region.
The highly complex transaction involved the merger of more than 20 assets and companies under a single brand, legal structure and management team, while simultaneously securing investment from international and domestic investors. Operating as a single platform under a focused management team, Anthem is set to become a primary vehicle for large-scale renewable energy investment.
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Local Advisers: Standard Chartered Bank, Flamingo Capital Partners, Cliffe Dekker Hofmeyr, Fasken, Webber Wentzel, PwC, EY, Kuungana Advisory, ARUP, SLR Zutari, F1F9, tnei, ABL Group and Harmattan Renewables.
New major South African renewable firm, Anthem was born from the integration of African Clean Energy Developments (ACED) and EIMS Africa under the IDEAS Fund (AIIM’S SA fund, a member of Old Mutual Alternative Investments). Norfund and the Mahlako Energy Fund are important founding investors and shareholders in Anthem, positioning it as one of the leading renewable Independent Power Producers in SA, based on operational capacity. The platform was officially launched in September 2025.
Anthem, an integrated renewable energy company with established players in the renewable energy space, already accounts for approximately 15% of the renewable energy market share in South Africa, representing over 2.7GW of secured power capacity. In addition, Anthem controls an 11GW greenfield site pipeline across South Africa, with well-developed plans to further its expansion into Southern Africa, beyond Eswatini.
Anthem develops, finances, builds, owns, operates and manages one of South Africa’s most significant renewable energy portfolios, constituted of 24 wind and solar photovoltaic (PV) projects across five provinces, as well as a hydroelectric plant and a solar PV project in Eswatini.
Comment from the Independent Panel: The deal created one of SA’s largest renewable IPPs with the combination of more than 20 assets, unlocking R4.2bn for renewable energy investment. Additional investors have committed material capital to SA – both Norfund and Mahlako.
PICK OF THE BEST (in no particular order)
Exit by Apis Partners, Crossfin and the International Finance Corporation from iKhokha
The R1,65bn deal will see long-standing investors Apis Partners, the International Finance Corporation and Crossfin Holdings, who have supported iKhokha since its inception, exit their interests in the business to Nedbank. The exit marks one of South Africa’s largest fintech transactions for 2025.
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The acquisition will create clear pathways to value creation through integration with Nedbank’s small and medium-sized enterprise (SME) banking ecosystem, expansion of merchant services, and deployment of AI-driven credit scoring.
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Founded in 2012, Durban-based iKhokha provides mobile point-of-sale solutions to SMEs. iKhokha products include card machines and a mobile app that allow merchants to accept card payments, with added business management tools to give merchants more operational control over their businesses.
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iKhokha was co-founded by Matt Putman, Ramsay Daly and Clive Putman with a vision to develop and deliver business tools that could ‘help anyone thrive in business’. iKhokha brings to Nedbank a suite of point-of-sale solutions, online payment and accounting tools, and cash advance products. iKhokha processes over R20 billion in digital payments annually, and has distributed approximately R3bn in working capital to the SME sector.
Nedbank had built a strong partnership with iKhokha prior to the announcement, as they’d used their services for payment processing and transactional banking.
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For Nedbank, the deal represents an attractive entry multiple, leveraging synergies between banking infrastructure and fintech agility. The partnership allows Nedbank to leverage iKhokha’s 55,000+ payment devices and explore cross-selling opportunities for its SME banking products. This acquisition is part of a broader, competitive effort among South African banks to dominate the SME market.
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The all-cash transaction marks a successful exit for iKhokha’s longstanding investors. The acquisition includes a comprehensive management lock-in to ensure managerial continuity, and alignment with long-term growth objectives. iKhokha will retain its brand, management team, and independent operation, ensuring continuity for its merchants. This approach aims to combine Nedbank’s extensive banking experience with iKhokha’s agile, customer-centric approach.
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There is great alignment across both parties on the synergies that can be unlocked through this transaction, and there is no doubt that combined strengths will result in a truly differentiating and highly competitive value proposition for SMEs in the market. It also opens the door for iKhokha to explore expansion into other strategic markets on the continent.
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The deal will strengthen South Africa’s fintech ecosystem and accelerate digital adoption for SMEs. It was announced in August 2025 and received unconditional approval from the South African Competition Commission in October of the same year.
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Local Advisers: Nedbank CIB, Morgan Stanley, Bowmans, Webber Wentzel, PwC and EY.
Comment from the Independent Panel:
A landmark deal in the fintech space, reinforcing SA as an innovation hub, executed against compressed timelines to successful conclusion. Successful exit for private equity while ensuring future growth.
Exit of RFG Holdings by Capitalworks and other shareholders to Premier
The R5,78bn transaction, the largest in the FMCG sector over the past five years, has the potential to recalibrate the sector dynamics, renew investor interest, and catalyse further strategic deals. The share for share transaction will result in RFG shareholders owning c.22.5% of the enlarged Premier Group and RFG being delisted from the JSE.
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Exiting shareholders include Capitalworks (44.54%), Foord Asset Management (13.0%), Old Mutual (10.3%) and others (32.2%). Private equity firm, Capitalworks initially invested in RFG as part of a management buyout in 2012 and brought it back to market via a listing in 2014, with a market capitalisation of R2,5bn. The firm’s exit will see it accept Premier’s offer by effectively rolling its stake into the enlarged Premier Group.
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RFG is a market-leader in convenience meal solutions, with strong market share positions across key product categories and its portfolio of well-established brands. The portfolio is seen as a complementary addition to Premier’s product offering. While the two businesses share common customers, there is no overlap in the products and categories in which RFG and Premier operate, which limits integration risk while, at the same time, elevating resilience across economic cycles. The merger also creates a platform with increased capability to expand internationally, enhancing export potential, access to new growth engines, and a greater ability to capitalise on global consumer trends.
The consumer sector in southern Africa has long suffered from fragmented, sub-scale players and constrained liquidity. Consolidation is now a strategic imperative to unlock scale efficiencies and improve free float, so attracting institutional interest and stabilising long-term shareholder value.
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The offer to shareholders comprised one Premier share for every seven RFG shares held and, at the time of the offer, represented a premium of 35.6% to the closing prices and 37.5% to the 30-day volume-weighted average prices of a Premier share and an RFG share on 14 October 2025. The share swap ratio was based on a reference price of R22.00 per RFG share and R154.00 per Premier share.
The deal was the opportunity for both RFG and Premier shareholders to participate in the growth of the enlarged group, which would generate annual revenue of almost R28bn and profit after tax of R1,7bn. In addition, the transaction would also enhance Premier’s free float on the JSE, boosting liquidity in the Premier share.
Given the share-for-share nature of the transaction, the process required significant negotiation to achieve alignment between the various RFG and Premier stakeholders on the correct valuations of both businesses and, consequently, the share swap ratio. In a listed environment where share prices are constantly adjusting for both endogenous and exogenous factors, this required constant evaluation and negotiations to ensure alignment from both parties.
The transaction required numerous regulatory approvals across multiple jurisdictions, including competition and merger approval in South Africa, Botswana, Eswatini and Namibia, the SARB, JSE and the Takeover Regulation Panel.
Local Advisers: Investec Bank, Rand Merchant Bank, DLA Piper South Africa, Webber Wentzel, Primerio International, BDO, Valeo Capital and PwC.
Comment from the Independent Panel:
This was considered a private equity deal given the shareholding of Capitalworks in RFG. The rationale for the transaction was well supported across the market. The deal was executed against a short timetable given the share-for-share transaction.
STANLIB Infrastructure Investments’ acquisition of a stake in Africa Data Centres (Cassava Technologies)
Cassava Technologies, a pan-African technology group, received a strategic investment by STANLIB Infrastructure Investments (SII) to accelerate the rapid expansion of Africa Data Centres’ (ADC) footprint in South Africa.
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SII, with equity investments exceeding R14bn, mobilises institutional savings pools into sustainable infrastructure projects, focusing on renewable energy and digital infrastructure.
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ADC South Africa has been operating successfully for over 15 years, with the first Johannesburg facility commissioned in 2009, and Cape Town in 2010. It currently operates seven state-of-the-art data centre facilities across Africa, including three of the top ten data centres on the continent.
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ADC serves more than 400 enterprise and hyperscale customers – as they rapidly increase their demand for secure, high-capacity connectivity and cloud services across the region. It operates a highly predictable, recurring revenue model anchored by long-term contracts.
Data centres are critical infrastructure for the modern economy. According to STANLIB, its investment will strengthen South Africa’s digital backbone, enabling ADC to contribute meaningfully to the country’s growth. It aligns with STANLIB’S desire to be an economic enabler for the South African economy by deploying capital that drives growth, while giving institutional investors differentiated access to a unique asset class. All its investments incorporate environmental, social and governance principles, ensuring long-term value creation for investors and the broader economy.
With the demand for digital infrastructure in Africa accelerating – driven by AI, cloud adoption, data sovereignty regulations and rising internet penetration – this deal delivers immediate deleveraging and injects fresh capital to fund sustainable expansion.
Cassava Technologies recently partnered with NVIDIA to roll out GPU-powered infrastructure and AI platforms across its African data centres. This positions ADC to deliver advanced AI and cloud solutions tailored for enterprise needs, creating strong tailwinds for digital transformation and unlocking new growth opportunities across the region.
STANLIB and Cassava’s strategic partnership will allow ADC to cater to the growing demand for digital infrastructure in the country, and the transaction required a highly bespoke process and structure to balance multiple objectives.
The investment, the amount of which is undisclosed, will drive the expansion and development of AI-ready data centres at ADC’s campuses in Johannesburg and Cape Town, reinforcing South Africa’s position as a hub for cloud and AI innovation.
Local Advisers: Merrill Lynch, Standard Bank, Red Wind Capital, Bowmans and Werksmans, and EY.
Comment from the Independent Panel:
The transaction unlocks investment in additional data centres by way of an innovative share structure, recognising growth potential while protecting the interests of incoming investors. This is a key growth sector for SA.