Pan-African energy leasing company Solarise Africa has landed a further $10-million investment to drive Africa’s clean energy expansion.
The company’s Series B investment round welcomed French development finance institution Proparco, alongside existing investors, investment firm Energy Access Ventures (EAV) and electrification financing initiative EDFI ElectriFI.
“Solarise represents a compelling opportunity for Proparco in the off-grid sector. We are proud to support this innovative project as a first co-investment alongside a strong provider such as EAV.
“It should enable African small and medium-sized enterprises (SMEs) to start their road towards greener energy through the provision of a decentralised renewable energy production solution,” says Proparco equity investments head Johann Choux.
On a continent where frequent outages greatly hamper productivity, Solarise Africa provides innovative financing solutions to industrial and commercial companies that limit the upfront investment and provide manageable instalment payments and short payback periods.
This enables companies to optimise their cost base and productivity, reduce dependability on an unstable power grid and adopt clean energy systems.
“Africa has been ready for clean energy expansion for the African SME sector, but financing has always been a significant hurdle. By addressing this critical value chain need we can help to fast-track green energy adoption,” notes Solarise Africa CEO Jan-Albert Valk.
He adds that Solarise Africa is proud to welcome Proparco as a new investor in Solarise and that the company is grateful for the support it has received by EAV as its anchor investor nearly since Solarise Africa’s inception.
Proparco’s investment will be used to fund project deployments and further increase market share in current countries of operation and future expansions into Africa.
Solarise Africa currently has operations across Kenya, South Africa and Rwanda, where it has deployed several projects and continues to develop an extensive pipeline across the continent.
“We are excited to continue to support the Solarise team as they grow their geographical footprint and impact across Africa. The team has continued to demonstrate their bankability with successful deployments within a short period, strategic market expansion, pipeline development and agility in handling the Covid-19 crisis,” EAV partner Paras Patel states.
He adds that Solarise Africa's innovative financing solution remains compelling for many commercial and industrial clients across Africa grappling with frequent outages and fluctuating costs that affect productivity.
“Since EDFI ElectriFi’s first investment, Solarise Africa has successfully rolled out its business plan - strengthening its team, commissioning its first project and expanding its pipeline through additional partnerships. Only one year later, we are delighted to back the company with additional investment.
"We believe Solarise Africa is excellently positioned to realise its ambitious plans,” comments EDFI Management Company executive Dominiek Deconinck, the manager of EDFI ElectriFI.