ImpactAlpha, September 25 – The off-grid solar lender is looking to raise $85 million for its Solar Energy Transformation Fund, which will offer debt financing to companies making solar products for off-grid households in Asia and Africa. OPIC has committed $25 million in senior and subordinated debt.
SunFunder co-founder Audrey Desiderato described OPIC’s financing as “highly catalytic for the energy access industry.”
Since launching 2012, SunFunder has provided $50 million in loans to almost 40 companies, impacting more than 3.5 million people’s access to energy. SunFunder often works with companies like PEG Africa, which sells pay-as-you-go home solar systems to customers in Ghana and the Ivory Coast, structure at least a portion of their debt in local currency, which helps offset the risk of currency fluctuation.
SunFunder is looking to lend to roughly 50 companies through its Solar Energy Transformation Fund.
OPIC has previously backed SunFunder, committing $25 million in financing and political risk insurance to its earlier Beyond the Grid fund.