Nigerian renewable energy start-up raises $20m to power African commercial markets
Rensource Energy plans to expand to 100 markets in Nigeria and to additional African countries within 24 months
Nigerian renewable energy start-up Rensource Energy has raised $20m (£15m,€18m) in a Series A funding round co-led by CRE Venture Capital and the Omidyar network.
Launched in 2016, the company builds and operates solar powered micro-utilities that provide electricity to commercial community infrastructures, such as open-air trading bazaars.
The company has a partnership with German manufacturer BOS AG, with whom it designs specialised panels. Rensource also has development teams in Nigeria and Europe for its software-related programmes.
The start-up also aims to offer B2B services to Nigeria’s SME classes. With the $20m round Rensource is launching its Spaces Offline to Online platform for supply chain services, including business analytics and working capital options.
Rensourse provides off-grid energy in six Nigerian states and powers the Sabon Gari market, one of the the country’s largest, located in northern Kaduna state.
The company plans to expand to 100 markets within Nigeria and to additional African countries within 24 months, according to Rensource co-founder Ademola Adesina.
The IMF’s 2019 Nigeria report quoted economic losses of $29bn in Nigeria due to unreliable electricity supply. On global Doing Business rankings, Nigeria ranked 169 out of 190 countries in the “Getting Electricity” category.
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