ElectriFI Successfully Exits candi solar Deal
candi solar reached the point in its growth where they can execute the early repayment option
BRUSSELS, 6 February 2024 – EDFI Management Company, the impact driven asset manager, announced today the successful exit from its investment in candi solar. EDFI MC committed, in October 2020, through its Electrification Financing Initiative – ElectriFI, funded by the EU, USD 3 million (EUR 2.68 million) to facilitate the expansion of candi solar’s customer base in India. This financing has allowed candi solar to increase their installed capacity to 60MWp and displace 34,500 tons of CO2 equivalent in 2023. The funding facilitated candi solar’s expansion, attracting additional investment that contributed to its establishment as a prominent player in the Indian market.
candi solar has now reached the point where their financial strength allows them to repay ElectriFI’s debt and look for other financing more adapted to its growth stage and robustness. One of the main roles of the EDFI MC is that it acts as a catalyst, investing in markets and regions deemed too risky by others. This strategy mitigates risks and paves the way for further investments in emerging markets. Through blended concessional finance, combining funds from development partners and commercial sources, it effectively attracts private investment to challenging areas. This approach supports private sector-led projects, promoting social benefits and sustainable development in emerging markets.
Rodrigo Madrazo, the chief executive officer of EDFI Management Company, stated: “Our commitment to catalytic investment is demonstrated in our staged approach to markets considered too risky for others. ElectriFI’s role is not just about financial backing; it’s about paving the way for sustainable impact and inspiring further investments in critical sectors.”
candi solar, a company partnering in particular with SMEs to provide simple, end-to-end solar and battery solutions in India and South Africa, successfully prepaid their liability, highlighting the robustness of the project and the positive outcomes of ElectriFI’s catalytic investment. candi solar has built a remarkable track record in the commercial and industrial market, with an operating portfolio of close to 60 MWp installed capacity across India and South Africa, which translates into a 140% compounded annual growth over EDFI MC’s investment period (2021-2023). The company has been very successful in raising funding from multiple sources, including DFIs.
Fabio Eucalipto, Finance Director at candi solar, acknowledged the catalytic role of EDFI MC, saying, “Reliable institutional financiers are crucial for turning candi into a success story. With ElectriFI, and EDFI Management Company, we found a partner with whom we experienced a professional and pragmatic collaboration throughout the investment period.”
candi solar’s unique business proposal for clean electrification of SMEs has not only cut overall electricity costs but has also contributed to a positive environmental impact. candi pushes the frontiers of solar financing, creating pioneering solar ownership models through innovative contractual solutions. This model has proved to be successful for delivering savings against the grid.
Madrazo concluded “Our facility has contributed to candi’s path to growth. The positive outcome of this investment exemplifies the impact-driven approach that ElectriFI embodies in its pursuit of a more sustainable future.”
About EDFI Management Company
EDFI Management Company (EDFI MC) is a multilaterally owned impact asset manager which delivers innovative development finance solutions that enable European DFIs, development banks and private sector investors to increase the scale and impact of their work. The company focuses on business models, technologies and geographies where other investors have not been able to operate at the desired scale given their resources and investment criteria.
For more information, visit www.edfimc.eu
About EDFI ElectriFI
The Electrification Financing Initiative – ElectriFI, managed by EDFI Management Company, is an impact-first investment facility, funded by the European Union, USAID’s Power Africa programme, the Government of Sweden and the Government of Italy. ElectriFI is investing in early-stage private companies and projects that increase or improve access to and supply of sustainable energy in developing countries.
About candi solar
candi solar is a Swiss-founded company that partners with businesses in the commercial and industrial sectors in South Africa and India with customised end-to-end solar and battery solutions. Our offerings encompass customisable finance and performance solutions tailored to meet each customer’s precise needs. Currently, our business stable comprises 150 installations, with over 100 MWp of contracted solar capacity. Underpinned by our global expertise in financing, quality engineering and data-enabled asset management, our unique mix of strengths allow us to take all the risk of going solar, so business owners don’t have to.
For more information, visit www.candi.solar