About AEI

Alumni Energy Investments is a Section 12J Venture Capital Company that offers a unique opportunity to earn enhanced returns with limited capital risk featuring:

  • Up front tax relief of up to 45% in the financial year of investment;
  • Up to 3 times the shareholding into AEI of amount invested;
  • Done-for-you security coin trading to offer each investor coin profits;
  • Investments in a portfolio of high growth energy assets;
  • Ability to carry forward amount of investment exceeding taxable income as a tax loss in future years;
  • Unique access to oil and gas technology that triples the probability of finding oil and gas at a tenth of the cost of traditional methods;
  • Investments in a portfolio of high growth disruptive technology assets focused on supporting and transforming the South African and global energy industries;
  • Experienced Board and management team with a successful track record of driving growth, creating value and managing third party assets;
  • A strong pipeline of opportunitiesReturns of capital not subject to recoupment if venture capital shares held for at least five years;
  • Experienced Board and management team with a successful track record of driving growth, creating value and managing third party assets;
  • A strong pipeline of opportunities with existent innovation to exploit them.

Investment return

Alumni aims to seek the highest returns it can find when selecting technology and resource investee companies to back. It plans to invest in pre-revenue concept stage start-ups which have the potential to return to seed capital providers one hundred times or more of the initial investment on exit. It should be emphasized that these investments are ultra-high risk and have a high probability of failure. The investment fund managers expect by no means of a guarantee that one investment out of five will succeed

An investment in Alumni should be considered as a long-term investment, not least because section 12J requires that investors remain in the investment for a minimum of five years. The investment into Alumni is not liquid and there will be no market for the shares for the foreseeable future.

Tax deductibility of investment in Alumni

In terms of Section 12J of the Income Tax Act, investors will be entitled to deduct from their income the full amount of their investment in Alumni in the tax year in which the investment is made.

This tax relief mitigates the investment risk and significantly mitigates downside risk as well as amplifying the potential return.

The tax impact is best demonstrated as follows:

Investor type Individuals Trusts Corporates
Gross investment R100 000 R100 000 R100 000
Tax relief (R45 000) (R45 000) (R28 000)
Net Investment R55 000 R55 000 R72 000
Effective % Tax Relief 45% 45% 28%

Would you like to discuss how you can invest in South Africa’s energy future with no risk to your capital? Please let us know using the form below.