Off-grid solar specialist Sun King has raised $260 million in a Series D funding round aimed to expand global access to affordable solar energy across Nigeria and other countries in Africa and Asia.
According to a statement from the company which also has a presence in Zambia, Uganda, Tanzania and Nigeria, Sun King plans to use $100 million to expand its pay-as-you-go solutions and introduce larger setups that are capable of powering appliances like refrigerators.
“This landmark investment allows us to continue scaling our technology, service, and financing capabilities so we can meet the needs of the next billion energy consumers,” T. Patrick Walsh, co-founder and CEO of Sun King, said.
“Over the last 15 years, we have delivered solar energy and light to over 82 million people, enabling kids to study for school, helping entrepreneurs run small businesses, and allowing families to power their lives, free from the danger and high cost of kerosene lanterns. This landmark investment allows us to continue scaling our technology, service and financing capabilities so we can meet the needs of the next billion energy consumers,” he said.
Read also: Rensource deploys solar energy system to 2-Way Steel Works Nigeria Ltd
The latest funding round was led by BeyondNetZero, the climate investing venture of General Atlantic, with participation from M&G Investments’ Catalyst and Arch Emerging Markets Partners. Sun King has previously raised $170 million in equity and debt funding.
“BeyondNetZero is excited to back Sun King, an industry-leading company that offers consumers accessible and affordable solar products, supported by fair and sustainable business practices,” said Eli Aheto, managing director, General Atlantic’s climate initiative BeyondNetZero.
“We look forward to partnering with the company and its leadership as they bring innovative and affordable off-grid solar products to new markets and continue to grow their meaningful contribution to the global net zero transition,” said Aheto.
Last month, Wood Mackenzie published a report that outlined the electrification of Sub-Saharan Africa would require an investment of $350 billion by 2030 with a focus on decentralized bottom-up, solar-and-storage grids.
Companies like Sun King, said to have so far distributed its home energy systems to over 82 million customers, are bridging this gap by using the PAYGO model, which eases the burden for poor families that may not afford the hefty lump sums often demanded for grid connections.
“Sun King is leading a global transformation in the way we provide electricity to consumers in Africa and Asia. It’s now dramatically more affordable to power a home with a solar system than to extend the electrical grid: for less than the cost of a single electrical pole, we can install an entire solar energy system in-home. This funding will further unlock our ability to scale this revolution to the 1.8 billion people who need these products today, and the next billion who will need them tomorrow,” said Anish Thakkar, Sun King’s co-founder.
