Sun Exchange, a peer-to-peer solar leasing network based in South Africa, has secured the additional US $2.5 million in capital through a convertible note investment from an existing investor to help it expand faster.
Sun Exchange, which launched in 2015, allows anybody from anywhere in the globe to buy solar cells that power schools, businesses, and other organisations.
Since then, the company has grown to tens of thousands of members in hundreds of countries and has installed solar panels in dozens of South African schools, companies, and organisations. Following a US $4 million Series A investment last year, it began growing globally and has already raised more funds.
Sun Exchange has received US $2.5 million in convertible note funding from ARPF, a Mauritian private equity firm managed by London-based ARCH Emerging Markets Partners, which was the startup’s Series A lead investor.
Sun Exchange will be able to continue scaling its success by facilitating solar power for small-to-medium businesses in Sub-Saharan Africa, which is the segment most impacted by rising energy costs, unreliable grid infrastructure, and expensive backup diesel generators, thanks to the latest investment.
“Addressing the climate emergency is the top priority on the world’s agenda, as evidenced by last week’s conversations at the UN General Assembly leading up to COP26. While policy action and diplomacy are critical at this juncture, the private sector and individuals have a crucial role to play. Powered by our global community, Sun Exchange closes the solar finance gap for organisations in Africa, addressing the challenge of our lifetime while supporting sustainable economic growth. We are delighted that ARCH has reaffirmed its belief in Sun Exchange and our mission through this investment,” said Abraham Cambridge, founder and chief executive officer (CEO) of Sun Exchange.
Sun Exchange had continued to exhibit momentum as a fast-emerging leader removing barriers to solar proliferation in Africa, according to William Barry, managing director of ARCH.
“ARCH is committed to working with our portfolio companies and supporting their growth, and we are proud to continue partnering with Sun Exchange on its journey to accelerate the global energy transition,” he continued.
“Verto’s innovative platform addresses these pain points, removing friction to make international payments fast, simple, and reliable – a key component of SME growth. We are proud to support Verto in this important and impactful work,” she said.