Baobab Group has completed the sale of its majority stake in Baobab+ to BioLite, a renewable energy social enterprise based in the United States. The move marks a significant shift in Baobab Group’s focus, as it returns its full attention to its core mission of providing financial services to small businesses and underserved communities.
The announcement, which was made in a statement released on Sunday, confirmed that the deal would allow Baobab+ to benefit from BioLite’s technological strength and experience in the renewable energy space. BioLite, which has been Baobab+’s primary supplier and strategic partner for six years, is expected to bring increased innovation and efficiency to the solar energy company’s operations across Africa.
Baobab+ is a social enterprise that operates in Senegal, Côte d’Ivoire, Nigeria, and Madagascar. Since it began operations nearly ten years ago, the company has made significant impact by delivering off-grid solar energy solutions to more than 425,000 households, touching the lives of over 2.5 million people. The company has also promoted digital inclusion by providing smartphones and other devices to more than 263,000 people through a pay-as-you-go financing model.
Following the acquisition, BioLite and Norfund, which holds a notable minority stake in Baobab+, have announced the appointment of Mr. Kolawole Osinowo as the new Chief Executive Officer of Baobab+ Group. Osinowo previously served as the head of Baobab+ Nigeria, where he led its operations as a Solar PAYGO Centre of Excellence since 2021.
In his reaction to the development, the Chief Executive Officer of Baobab Group, Mr. Philip Sigwart, said the decision aligns with the group’s long-term strategy to strengthen its presence in the financial services sector.
“We are proud to have supported Baobab+’s impressive journey over the past decade. This divestment enables Baobab+ to enter its next growth phase while allowing us to concentrate fully on our mission of delivering financial services to underserved communities,” Sigwart said.
Speaking after his appointment, Mr. Osinowo expressed confidence in the future of Baobab+ under BioLite’s leadership.
“With BioLite’s innovation and Norfund’s support, we are entering a new era—scaling with purpose, deepening our local impact, and delivering sustainable energy solutions across Africa,” he stated.
BioLite’s Chief Executive Officer, Mr. Jonathan Cedar, said the deal is a natural extension of the relationship between both companies. He added that BioLite’s carbon finance platform will help reduce energy prices for consumers while ensuring sustainable returns for the business.
“We believe this transaction will strengthen Baobab+ and enhance its performance in the medium and long term. Our carbon finance platform will also lower consumer prices while maintaining healthy margins,” Cedar said.
The transaction saw Enexus Finance act as the mergers and acquisitions advisor to Baobab Group. Legal advisory was provided by Gide Loyrette Nouel, while PwC handled the tax due diligence for the deal.
Baobab Nigeria, which remains part of Baobab Group’s financial services division, has continued to show strong performance in Nigeria’s microfinance space. The company recently disclosed that it has disbursed loans worth nearly N500 billion to micro, small, and medium-sized enterprises (MSMEs). This supports its wider goal of promoting financial inclusion and economic empowerment in the country.
Baobab Group said that while it is stepping away from direct involvement in solar and digital access services through Baobab+, it remains committed to supporting inclusive growth across Africa through its financial products and services.
