SunCulture

Period

2022

Country

Ivory Coast, Kenya

Sector

Renewable energy

Financial facility

ElectriFI

The USD 10 million mezzanine loan contracted between SunCulture, EEGF, ARAF and EDFI ElectriFI will allow the company to expand activity in Kenya, Ivory Coast, and Uganda.

Project overview

SunCulture manufactures, finances and distributes solar water pumps and irrigation equipment to smallholder farmers. To date the company has sold +23.000 units, through a combination of direct B2C
sales and distributor partnerships. SunCulture has established itself as the leading player in the solar water pumping market. The company intends to expand further into home market Kenya as well as in
new markets, such as Ivory Coast.

Funding objective

EDFI ElectriFI contributes to a USD 10m mezzanine debt investment alongside 2 co-investors, enabling the company to strengthen its operations in Kenya and start sales in Ivory Coast. The debt will provide a runway for the company to prepare and execute its Series B equity investment.

Investment rationale

EDFI ElectriFI is supportive of the business model of SunCulture as it provides access to electricity and water, leads to income increase and quality of life improvements for individual households and farmers.
There are also important positive macroeconomic impacts on food security, smallholder productivity, and climate change mitigation.