Freyr Energy Raises USD 7 Million in Series B Round Led by ElectriFI to Accelerate Solar Transition
Hyderabad, 16 October 2023 – Freyr Energy, a leading tech-enabled rooftop solar company in India, has secured an equity investment of USD 7 million. Freyr Energy is at the forefront of sustainable change accelerating the transition to solar energy for the retail customers (Homeowners and Micro, Small, and Medium Enterprises) in India.
The round was led by EDFI ElectriFI, an EU-funded impact investment facility managed by EDFI Management Company which invested USD 3 million. Other investors who participated in the round are Schneider Electric Energy Asia Fund, Lotus Capital LLC, Maybright and VT Capital.
Rodrigo Madrazo, CEO of EDFI Management company, expressed his enthusiasm for this transformative investment, stating, “The solar market for the retail sector in India is highly fragmented and disorganized. In this context, we do see an opportunity to team-up with Freyr Energy in bringing solar solutions combined with technology and consumer financing to allow retail customers to transition seamlessly to solar power and reduce their electricity bills. At EDFI MC, we are proud to have closed this equity transaction together with likeminded investors based from different parts of the globe.”
Also commenting on the transaction, Abhishek Agarwal (Founder & Managing Partner) said “India’s retail sector accounts for more than 50% of its total electricity consumption. Rooftop solar makes up less than 2% of this energy mix today. Solar power, which is 60% less expensive than grid power, presents a substantial market opportunity. Freyr Energy’s is very well positioned to become a market leader and create significant economic and environmental impact”.
Gilles Vermot Desroches, President of SEEAA added: “We believe that Freyr Energy has the potential to foster the energy transition in India by expanding from clean energy production to smart energy consumption. It is this vision as well as the quality and professionalism of the leadership team that encouraged us to invest in Freyr Energy 2 years ago and support them throughout their journey to Series B. We are excited with the accomplishment so far and cannot wait to see how, alongside likeminded co-investors, we could support the company further”.
Radhika and Saurabh (Co-Founders, Freyr Energy) said ‘We are excited about this fund raise and bringing on-board like-minded investors. This strategic investment reinforces Freyr Energy’s commitment to empower Indian retail customers and will allow us to make investments in building our team, product development and marketing to continue scaling at a rapid pace.’
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. 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 Freyr Energy
Freyr Energy is India’s leading rooftop solar company that is helping homes and business transition to solar energy. We have digitised the entire customer journey from exploring to owning a solar system through their proprietary SunPro+ App. We make it a hassle-free experience for the customer by managing the entire process of designing, procuring, and installing rooftop solar systems using highest quality standards for the most optimal system performance.
Maybright Ventures, founded by Gaurav Jalan in 2016, offers an Instant Loan App called mPokket that provides small ticket loans to low income youth, a segment that is ineligible for traditional loans and yet requires funds to meet short term needs. Loans are disbursed to customers instantly and credited to their bank accounts via smartphones within seconds. With 25million+ downloads and 15million+ users across 19000+ pin codes in India, mPokket seamlessly delivers credit anytime, anywhere.
About VT Capital
Set up under the vision of Dhiraj Bhutoria and Rajesh Jain, VT Capital is a proprietary trading firm; which trades across various segments ranging from Equity, Interest Rate Futures, Commodity and Currency. VT Capital is a member of NSE, BSE and MCX.
Lotus, founded in 2007, develops and invests in socially responsible ventures globally with a focus on climate change and financial inclusion. Principals of Lotus have extensive background in building businesses from ideation to large scale industry leaders in renewable energy, microcredit, and agri-business in North America, Asia, and Australia.
About Schneider Electric Energy Asia
Schneider Electric Energy Access Asia (SEEAA) is a +20M€ impact fund, launched by Schneider Electric, together with Norfund, EDFI MC and Amundi Asset Management, to positively contribute to SGD 7, with two main objectives: (i) bridging the energy access gap in South and Southeast Asia, where rural communities often lack access to reliable energy sources, and (ii) fostering the adoption of renewables in the energy mix and Net Zero.