Open Capital impact story

Supporting equity investment to extend off-grid solar solutions

It is estimated that over 700 million people lack access to electricity, with most living in sub-Saharan Africa.

Solar Panda is an off-grid solar company based in Kenya that aims to close the electrification gap. Solar Panda’s products range from basic lighting systems to kits that include radios and TVs. Since 2018, it has distributed over 200,000 solar home systems and created 1,300 jobs across Kenya.

Small Foundation’s partner Open Capital supported Oikocredit, a social impact investor and worldwide cooperative that provides loans, investments and capacity building, in its due diligence of Solar Panda. This resulted in Oikocredit and Electrification Financing Initiative (EDFI ElectriFI) jointly investing USD $8M Series A equity investment in Solar Panda, extending solar solutions to over 100,000 underserved households in Kenya, and setting the stage for expansion across sub-Saharan Africa.

Beyond solving the energy access gap for households, Solar Panda utilises a pay-as-you-go financing model to improve affordability for customers.

Andy Keith, founder and CEO at Solar Panda, said, “We are excited to partner with Oikocredit and EDFI ElectriFI and thankful that this funding will help us ramp up our efforts at making electricity access universal. I’m very proud of the growth and success our team has been able to achieve over the past four years and, with nearly one billion people in the world without access to electricity, we feel we are just getting started.”

Oikocredit finances over 500 partners, with total development financing capital outstanding at €1.01 billion as of 31st March 2023. ElectriFI is a €253 million facility funded by the European Union, Power Africa and the governments of Sweden and Italy.