SolarX Africa, a Malian solar startup, has announced the closing of additional funding from Energy Access Ventures (EAV), an early-stage fund investing in decentralized energy companies across sub-Saharan Africa.
The startup develops, finances, and offers operations and maintenance services to solar assets, focusing on commercial and industrial clients through a leasing model.
Further to EAV’s initial investment in SolarX Africa (July 2020), this tranche of funding brings to completion the company’s Series A round. The transaction is a testament to EAV’s firm belief in the market viability of the region and in the company’s agility, proven by their successful execution despite recent market challenges.
SolarX Africa will utilize this new equity and quasi-equity funding to finance the pipeline of commercial and industrial clients in Mali and Burkina Faso.
Karim Ghammache, Founder CEO of SolarX Africa, said; “We are pleased to have unlocked further funding from EAV following successful completion of our initial projects and achievement of key milestones. These funds will be used to execute on signed projects and to expand our position as a key player in West Africa’s commercial and industrial space. We hope this investment demonstrates the need for more capital inflow into the region to match the growing demand for reliable and clean energy solutions from leading businesses.”
Vladimir Dugin, Partner at EAV, said: “As early-stage investors, we are keen to support teams and solutions that are fit for the market, especially in frontier geographies. We are proud to see the company hit its milestones and deliver on the initial pipeline despite the COVID-19 crisis and other macro challenges. We view our new investment as a major milestone for SolarX Africa and as a critical steppingstone to facilitating their expansion plan in the region.”
Johann Choux, Head of Equity Investments – Financial Institutions & VC at Proparco, said: “The provision of affordable, clean energy is of the utmost importance, now more than ever, particularly in frontier markets in Africa. With FISEA (the Investment and Support Fund for Businesses in Africa), we support innovative investors like EAV that play a key role in providing early-stage capital, a network, and hands-on assistance to companies like SolarX.
“This investment is essential not only from a climate standpoint but also to ensure wider economic and political sustainability, as SolarX clients support the day-to-day well-being and livelihoods of local and regional residents. More importantly, EAV’s investment in SolarX Africa underscores the Fund’s commitment to the Sustainable Development Goals (SDG) and will directly contribute to SDG 7: access to energy.”
SolarX Africa is a renewable energy company providing reliable, clean, and affordable energy solutions to commercial and industrial clients in West Africa. As a one-stop shop, the company provides easy access to financing for energy and energy efficiency solutions, whilst allowing its clients to focus on their core business and power this through environmentally friendly and cost-efficient energy sources.
