In order to further its goal of opening up the market for small- and mid-sized green assets in the commercial and industrial (C&I) sectors, Refy, a Singapore-based green asset fintech financier, has successfully obtained a pre-seed investment of $525,000 from Wavemaker Impact (WMi).
Refy said in a statement on Tuesday that it will use this money to build its technical platform, implement secured pilot projects, and put together a specialized team with knowledge of industrial projects and green assets.
The market for small-to mid-scale green assets, which include rooftop solar panels, wastewater treatment plants, and infrastructure for electric vehicle (EV) charging, is said to be enormous and mainly unexplored.
According to estimates, this industry is worth $200 billion just in Southeast Asia.
Nevertheless, more than 80% of green funds are presently going toward utility-scale decarbonization projects, despite the growing demand from C&I companies.
Capital limitations among C&I companies and the challenges project developers face in securing necessary funds often result in deployment challenges or delays for green assets.
Refy stated that it believes there is a big chance to help high-potential green asset project developers in two key areas in order to raise the bankability of these smaller green assets.
First and foremost, by offering developers creative and adaptable financing options based on the type and risk of the assets.
Secondly, providing a technology platform enabled by artificial intelligence (AI) to expedite the processes of due diligence and project evaluation
Investors can evaluate incoming projects for quality and returns by using Refy’s technological platform, which will also make it easier to access exclusive deal flow and increase the bankability of green asset projects in Southeast Asia and throughout the world.
“Securing this pre-seed funding validates Refy’s vision and our commitment to transforming green asset project financing. Tackling climate change requires action that goes beyond rhetoric, and this support ensures that no worthy green project goes undeveloped due to financial constraints,” said Ed Chin, Chief Executive Officer and Founder of Refy.
Refy stated that it will use a multi-asset strategy with a strategic focus on the $200 billion C&I sector market in Southeast Asia, initially focusing on Malaysia, the Philippines, and Vietnam before expanding throughout the region.
Refy stated that it hopes to become the top financier of green assets in Southeast Asia, enabling the deployment of $70 billion worth of green assets over the course of the next ten years, with a vision to generate $100 million in revenue and mitigate 100 million tons of carbon dioxide (CO2) emissions.
