Water
Infrastructure

Overview

Water is one of Africa's most underfunded infrastructure gaps and one of its fastest-growing markets. KXT works across two distinct segments: municipal water systems serving Africa's rapidly growing cities, and industrial water treatment facilities for data centres, mining, manufacturing plants, and processing facilities.

Both markets are structurally undersupplied. Both are increasingly structured under PPP and EPC+F frameworks. Both suit our model.

We finance, build, and operate water infrastructure from end to end. Where clients are government authorities with constrained budgets, our EPC+F capability turns unfunded mandates into bankable projects. Where clients are private industrial operators, we structure long-term service agreements with contracted cash flows from commissioning.

Market Opportunity

Less than 60% of sub-Saharan Africa's population has access to safely managed drinking water, according to the WHO/UNICEF Joint Monitoring Programme. By 2050, Africa's urban population will double to more than 1.5 billion people. The gap between supply and demand is widening, not narrowing.

On the municipal side, African cities are expanding faster than their water infrastructure. Lagos, Nairobi, Cairo, and Johannesburg face acute supply deficits. Municipal water authorities across KXT's four core markets are tendering treatment plants, distribution networks, and pump station upgrades under PPP frameworks, because central government budgets cannot fund the capital requirement without private sector structuring.

On the industrial side, the expansion of data centres across Nigeria, Kenya, Egypt, and South Africa has made industrial water treatment a commercial necessity. A hyperscale data centre requires tens of thousands of litres of water per day for cooling. Manufacturing plants and processing facilities face similar requirements. This market is commercially structured, with long-term service agreements providing contracted revenue from day one of operations.

The two markets reinforce each other. Municipal programmes build regional track record and government relationships. Industrial programmes provide private sector counterparties with stronger credit profiles and faster financial close timelines.

Investment Focus

For municipal water, KXT targets projects with sovereign or municipal offtake agreements, DFI co-financing, and tariff frameworks that provide long-term revenue visibility. We focus on treatment plants and distribution networks where the population need is documented, the government commitment is bankable, and DFI appetite to co-finance is confirmed.

For industrial water, we structure long-term service agreements with anchor clients including data centre operators, industrial park developers, and processing facilities. These agreements provide contracted cash flows from commissioning, with inflation-linked tariff structures that protect returns over the concession period.

We target projects that suit EPC+F delivery: where the client needs a partner who can arrange financing and execute construction under a single contract. Pure contractors cannot reach financial close on these deals. Pure financiers cannot manage construction risk. KXT does both.

Where appropriate, we retain the asset under a BOO or BOT structure, generating long-term operational revenue alongside the construction margin captured during delivery.

Development and Execution

Our water teams manage the full project lifecycle from hydraulic design through long-term operations. We bring civil, mechanical, and electrical engineering capability in-house, covering intake structures, treatment facilities, pump stations, pipelines, reservoirs, and distribution networks.

For industrial water projects, we combine our engineering capability with digital twin monitoring systems that track plant performance in real time, allowing us to meet the SLA commitments on water quality, volume, and pressure that commercial clients require.

Financially, we bring DFI relationships, blended finance structuring experience, and an established track record with development banks across Sub-Saharan Africa and North Africa. That combination lets us close water projects where budget-constrained governments or industrial clients need an EPC+F counterpart rather than a standard contractor.