FMO, the Dutch entrepreneurial development bank announced today that it has committed €5.5 million in a convertible note and Series B redeemable preferred shares to SolarX, a West African C&I player active in Senegal, Mali and Burkina Faso and Côte d’Ivoire. The financing was provided through FMO’s Ventures Program and Building Prospect Fund, the Dutch government fund for private investments in the agribusiness value chain, infrastructure, and climate in developing countries. This equity round will help SolarX fast track more solar assets, grow the team and open new territories.
SolarX is the leading commercial and industrial solar company with mainly focused on the Sahel region in Burkina Faso. By deploying and financing solar and renewable energy assets, SolarX helps B2B clients to access a cheaper and a more reliable source of energy. Its local expertise is key to success by understanding clients’ needs and providing a simple reliable and low risk energy solution through a leasing model. As a result, it strongly contributes to SDG7 of affordable and clean energy, SDG 8 of decent work and economic growth and SDG 13 of climate action.
Corine Franken, Investment Officer of FMO Ventures Program: said “FMO is excited to support the SolarX team to grow their activities in the Sahel region, providing clean, affordable and reliable power with attractive economics to its SME customers that rely on high cost diesel-powered gensets and an unreliable grid. We see SolarX as a long-term partner with a strong and dedicated founding team that is a frontrunner on reducing inequalities. Together with our partner Energy Access Ventures/E3 Capital, we look forward to supporting SolarX’s ambitions to scale.”
Karim Ghammache, CEO SolarX: “We founded SolarX with the ambition to unlock the C&I energy sector in West Africa. The last 2 years have been an amazing journey of growing the company from scratch and understanding the needs of commercial and industrial customers in the region. The new funding from FMO is a first step in our scale up phase to gear up for exponential growth.”
SolarX is financed by FMO’s Ventures Program and Building Prospects.
About FMO Ventures Program
FMO is the Dutch entrepreneurial development bank. As a leading impact investor, FMO supports sustainable private sector growth in developing countries and emerging markets by investing in ambitious projects and entrepreneurs. FMO believes that a strong private sector leads to economic and social development and has a 50+ year proven track-record in empowering entrepreneurs to make local economies more inclusive, productive, resilient and sustainable. FMO focuses on three sectors that have high development impact: Agribusiness, Food & Water, Energy, and Financial Institutions. With a total committed portfolio of EUR ~12 billion spanning over 85 countries, FMO is one of the larger bilateral private sector development banks globally.
Through the FMO Ventures Program, a EUR 200 mln investment program funded by FMO, the Dutch Ministry of Foreign Affairs and supported by the European Commission, FMO targets early-stage technology-enabled innovative business models in emerging markets. For more information: please visit https://www.fmo.nl/ventures-program
