Pending contracting: This investment proposal has received final approval and now is entering into the contracting phase. This disclosure will remain on line during 30 days, after which it will be removed automatically.
Investment Name: Sistema.bio
Region: Sub Saharan Africa
Country: Kenya, India
Sector: Waste to energy
Sponsor’s website: https://sistema.bio/
Total ElectriFI Financing: USD 0.4m
Environmental and Social Category: B
(A) high risk, (B+) medium high risk, (B) medium risk or (C) low risk
Project overview: Sistema.bio manufactures, sells, installs, finances and services a range of modular biogas digesters and accessories design for smallholder farmers. Since its inception in 2010 the company has installed over 13.500 units from hubs in Latin America, Kenya and India. Designed to serve farms from two to 200 cows, the product range varies in size from a single 6m³ biodigester, to a number of interconnected 40m³ units. With the biogas produced, an average household of five can do all its cooking with the smallest unit. Besides cooking, the larger systems can also be used for water or space heating and mechanical/electrical appliances such as a chaff cutter, water pump or milking machine.
Funding objective and impact: EDFI ElectriFI will invest USD 0.4 million in a convertible note alongside existing investors Engie RDE, DILA Capital, Co Capital and, and Chroma FMO [names to be confirmed] or other external investors. The bridge round will enable the company to continue its scale up and international expansion principally in Kenya and India.
Why EDFI ElectriFI wants to fund this project: EDFI ElectriFI supports Sistema.bio because of the high E&S impact of its biodigesters. By replacing solid fuel with clean renewable energy cooking solutions while ensuring sustainable waste management, and the production of biofertilizer. Sistema.bio therefore positively impacts the health of its numerous beneficiaires. Finally, the company has proven best-in-class technology, and a very complete service offering including financing and thorough after-sales and quality management.
Environmental and social rationale:
The Project is rated category B. Activities come with minimal environmental and social risks and potential negative impacts.