SolarHome, a Singapore-based company that brings pay-as-you-go solar solutions into off-grid households in Southeast Asia, announced today that it has raised US$2 million in a Series A extension round, led by existing investors TRIREC and Insitor Impact Asia Fund.
New investors such as Anthem Asia Myanmar SME Venture Fund and DPI Energy Ventures (renewables-focused investment funds in APAC), besides FORUM, also participated.
The newly-raised capital will be used to scale SolarHome’s solution, as it pushes towards the next stages of growth of offering its product to a much larger customer base.
Founded by FORUM, a Singapore-based fintech venture builder, SolarHome offers off-grid households a solar lighting system at a low-cost 24-month subscription plan, with an initial US$10 down payment, followed by daily, weekly, or monthly repayments through scratch cards or mobile money.
The technology built into the system ensures that it won’t function if a payment is not made, giving lenders the confidence that they will be able to recover their investment.
The company estimates that it eliminates 140kg of carbon dioxide emissions per year and 1.45kg of black carbon, which are crucial in battling greenhouse effects that is crucial for global warming.