Foresight Group's Ricardo Pineiro on expansion plans

Renewable energy fund, Foresight Solar Fund, recently announced its plans to list on the Johannesburg Stock Exchange (JSE). The fund's expansion comes on the back of its latest acquisition, the Sand Ridge Solar Deal in the UK, adding 50 megawatts to its existing portfolio totaling 470 megawatts of operational capacity managed by Foresight Solar. Ricardo Pineiro, the Head of UK Solar at Foresight Group, shared insights on the investment potential in listing on the JSE and the success of the renewable energy program in the UK during a CNBC Africa interview. Foresight Group's decision to list on the JSE opens up new opportunities for South African investors to tap into the UK renewable market. Pineiro highlighted the steady 6% sterling-denominated yield from the operational portfolio in the UK, signaling a promising investment avenue for local investors. By leveraging the sophisticated JSE market and the growing demand for renewables in South Africa, Foresight Group aims to provide a sustainable, inflation-linked dividend option for investors. Pineiro emphasized the strategic choice of the JSE due to its investor-friendly environment and the increasing interest in renewable energy within the South African market. Despite challenges like delayed Power Purchase Agreements with SCOM, the renewable sector has shown resilience and potential for growth, making it an attractive option for both local and international investors. The move to list on the JSE signifies Foresight Group's commitment to expanding its reach and fostering sustainable investments in the renewable energy sector. Reflecting on the UK's renewable energy program, Pineiro outlined the industry's evolution since the early 2000s, with solar emerging as a key player post-2010. The UK's transition from direct subsidies to auction mechanisms has paved the way for cost optimization and increased market competition, demonstrating the government's support for renewable energy integration. Pineiro noted the success of this transition as a key learning experience that could be mirrored in other global markets, including South Africa. While Foresight Group's current focus remains on UK-based assets, Pineiro hinted at potential investments outside the UK in the future. With the fund manager operating globally in regions like the US, Australia, and Southern Europe, there is room for expansion beyond the UK market. The listing date for the JSE is set for April 3rd, providing interested investors with an opportunity to participate in Foresight Solar Fund's growth journey. In conclusion, Foresight Group's strategic decision to list on the JSE marks a significant milestone in expanding its investment horizons and offering South African investors access to a robust renewable energy portfolio. As the global focus on sustainability and clean energy intensifies, Foresight Solar Fund's commitment to driving renewable energy investments presents a compelling opportunity for investors seeking long-term growth and environmental impact.