NAIROBI, Kenya August 24 — The Competition Authority of Kenya(CAK) has approved the acquisition of a 35 per cent stake in solar firm OFGEN Limited by CFAO Kenya enhancing investments in renewable energy in the country.
The transaction will also involve the acquisition of veto rights in OFGEN Limited by CFAO Kenya Limited leading to a change in control in the target.
It qualifies as a merger within the meaning of Section 2 and 41 of the Competition Act No. 12 of 2010.
CFAO Limited, the acquiring undertaking, is incorporated in Kenya and is the business arm of the Toyota Group of companies in East Africa.
Toyota Tsusho Group is increasingly investing in green energy, including solar projects, to earn carbon credits.
OFGEN Limited is a solar energy company that provides services such as development, design, procurement, construction, operation, and maintenance of photovoltaic systems for commercial and industrial use.
The firm has installed over 30 power plants for firms like Serena Hotels, Strathmore University and BAT in the companies’ efforts to cut reliance on electricity from Kenya Power.
