TechInAfrica – PEG Africa, a West African pay-as-you-go solar company, has announced that it has secured a $25 million from series C round collected from existing as well as new investors. Added to the existing funding, the company currently has raised a total of $50 million.
The recent funding will be used to strengthen its market in West African countries, including in Cote d’Ivoire, Ghana, and Senegal.
PEG Africa distributes its services including credit for assets like solar home systems to underserved households in the region using PAYG payment method. Using this technology, customers will have to change their non-ecofriendly fuels to solar energy.
Hugh Whalan, CEO of PEG Africa remarked: “As the first PAYG financing company to set up in West Africa, we have always felt that we could build a large, profitable business by being laser-focused on financing the solar needs of underserved customers in this region.”
Whalan highlighted: “Our solar solutions deliver better, cleaner and cheaper energy to our customers, and we have been successful at expanding rapidly and profitably while improving the lives of some of the poorest and most vulnerable in the countries we operate in. More than 50 percent of PEG’s customers earn less than US$3 per day, while 89 percent do not have access to the national electricity grid, and 82 percent never received financing or access to credit before PEG entered their lives.”
Commenting on their investment in PEG Africa, CDC’s Managing Director, Holger Rothenbusch stated, “We are very excited to be supporting PEG, which is the leading off-grid solar company in West Africa. This facility is the first local currency debt provided by CDC to a solar company in the region and marks an important step towards reducing the sector’s exposure to currency fluctuations and increasing its long term financial sustainability.”