Crowd-based solar leasing platform Sun Exchange has secured $2.5-million in convertible note financing from Mauritian private equity fund ARPF, which is advised by London-based ARCH Emerging Markets Partners (ARCH).
This follows the company’s close of a $4-million Series A funding round in 2020, led by a $3-million investment from ARCH.
The latest investment enables Sun Exchange to continue scaling its success using its crowd-based solar leasing platform to facilitate solar power for small-to-medium organisations in sub-Saharan Africa.
Sun Exchange has facilitated solar power for 45 businesses, schools, farms and other organisations in Southern Africa thus far.
In March, the company successfully completed a $1.4-million crowd-sale for a landmark 500 kW solar and 1 MWh battery storage project for agriculture company Nhimbe Fresh, in Zimababwe.
The project, Sun Exchange’s largest to date and the first outside of South Africa, is also the largest crowd-sourced project by the company in Africa to date.
Using the Sun Exchange platform, more than 1 700 people from 98 countries bought solar cells that will soon power the Nhimbe Fresh packhouse and cold store facilities. Construction of the solar plant is now under way.
“Sun Exchange continues to demonstrate momentum as a fast-emerging leader eliminating obstacles to solar proliferation in Africa. ARCH is committed to working with our portfolio companies and supporting their growth and we are proud to continue partnering with Sun Exchange on its journey to accelerate the global energy transition,” comments ARCH Renewable Energy Strategy MD William Barry.
“Addressing the climate emergency is the top priority on the world’s agenda, as evidenced by last week’s conversations at the United Nations General Assembly leading up to COP26. While policy action and diplomacy are critical at this juncture, the private sector and individuals have a crucial role to play.
"Powered by our global community, Sun Exchange closes the solar finance gap for organisations in Africa, addressing the challenge of our lifetime while supporting sustainable economic growth. We are delighted that ARCH has reaffirmed its belief in Sun Exchange and our mission through this investment,” adds Sun Exchange founder and CEO Abraham Cambridge.