Nigerian Solar Firm Arnergy Raises $9M From VC Fund Backed By Bill Gates, Jack Ma And Jeff Bezos
Yet another African solar energy solutions firm has raised capital for expansion as the challenge to light up Africa attracts opportunity and investment.
The funding round was led by Breakthrough Energy Ventures, a Paris-based investor-led energy fund that aims to help provide reliable and affordable power without contributing to climate change.
Other funding participants include All On Energy, the Nigerian impact investor funded by oil company Shell; European Union-backed ElectriFI and the Norwegian Investment Fund for Developing Countries.
Nigerian solar energy firm powering businesses
Arnergy provides solar power to homes and businesses with a special focus on healthcare, hospitality, financial services, agribusiness and education, Weetracker reports. The company designs, sells and installs affordable and reliable distributed energy systems.
“Arnergy inherently understands the West African market and its need for power reliability,” said Carmichael Roberts of Breakthrough Energy Ventures in a prepared statement. “Creating accessibility to reliable renewable energy sources is paramount to economic growth in this region. With Arnergy’s technology, we can significantly decrease carbon emissions and it’s a model that can be replicated all over the developing world.”
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The Lagos-based firm was founded in 2014 by Femi Adeyemo and Kunle Odebunmi, according to Afrik21.
Arnergy expects to use the new funding to expand its service offering throughout Nigeria, especially through partnership opportunities with small businesses, the company states in a press release.
While $9 million is a significant investment, other African solar firms have raised more in 2019.
Launched in 2012, Azuri delivers solar home systems based on smart technology to customers in 12 countries in sub-Saharan Africa. These allow families to watch TV and light up their homes.
In April, Mauritius solar company Daystar Power received a $10 million investment from New York venture capital firm Persistent Energy Capital LLC and Nigeria’s Verod Capital Management, according to CNBC Africa.
Daystar is Arnergy’s competitor as it builds off-grid solar farms with batteries for energy storage, offering power solutions to commercial and industrial customers in Nigeria.