constant energy has raised $10 million in Series C funding to develop its cleantech venture capital business in Africa in a round led by Kyuden International Corporation, a subsidiary of Japan’s Kyushu Electric Power Group, and Financial Sector Deepening (FSD) Africa Investments.
The equity round also included six new private investors, high net worth individuals and businessmen, including Kotaro Tamura, as well as existing investors, including BK Ventures BV and DPI Energy Ventures Pte. Limited.
As an expert and investor in Africa’s renewable energy sector, Persistent Energy helps startups build businesses that can “sustainably scale” from idea to early stage growth. He does this by investing capital and human resources where his team members join and work alongside the management teams of the portfolio companies. Persistent has 20 partner companies in 17 sub-Saharan African countries. The company has had two successful exits to date.
Commenting on the deal, Tobias Rakstuhl, managing partner of Persistent, said in a statement that the company will use the resources to accelerate its growth in sub-Saharan Africa in a bid to promote clean energy options and technologies across the continent.
“Many more companies need to be created and built to achieve the UN Sustainable Development Goals (SDGs) over the next 10 years. Kyuden and FSDAi are committed to our entrepreneurial climate model,” Rakstuhl said.
“Leveraging these powerful partnerships, we will be able to accelerate our most innovative venture capital investments, driving the clean energy transition, advancing e-mobility and finding innovative business models and technology developments across the continent,” he said.
The company also said it will use the new funding to strengthen its team.
Permanent portfolio companies either deal with home solar systems, or offer commercial and industrial solar solutions, or provide e-mobility solutions, or are engaged in ecosystem building.
In Africa, these companies include Solar Works, a ten-year-old company that offers a wide range of solar products, including Solar Homes systems, a key offering powering homes in South Africa. Solar Taxi, an e-mobility startup from Ghana, was also recently added to the list of portfolio companies. Solar Taxi designs, assembles and distributes two wheelers and four wheelers that are used for transportation and delivery.
Oolu, BBOX, Rensource, Upowa, Altech, Ecoenergy, Candi, ecobodaa, Asobo and hohm energy, an ecosystem creator, are also in its portfolio of companies.
Credit: techcrunch.com /