Hyderabad-based rooftop solar company Freyr Energy announced an equity investment of ₹180 million (~$2.3 million) from Total Carbon Neutrality Ventures, Schneider Electric Energy Access Asia (SEEAA), and Capital 4 Development Partners (C4D Partners).
Freyr Energy caters to rooftop installations for the residential and micro, small, and medium enterprises (MSMEs) segment in 22 states across India.
In July 2020, Freyr Energy had launched its revolutionary customer app — SunPro+, facilitating a seamless solar system owning process.
Funds raised in this round will be used to accelerate growth and further enhance customer experience.
“Along with our existing investor C4D Partners, strategic investors like Total Carbon Neutrality Ventures and SEEAA provide us not only capital but also global experience in the energy sector,” said Saurabh Marda, Managing Director of Freyr Energy.
Florian Temime, Principal, Total Carbon Neutrality Ventures (the venture capital arm of global energy company Total), commented, “Freyr Energy has fully digitalized the customer journey thanks to its proprietary software environment SunPro+. We are convinced that this innovative software will ease the acquisition of rooftop solar customers and facilitate the entire customer journey from acquisition through to financing, execution, and after-sales service. We see SunPro+ as a key success factor for Freyr’s development.”
Gilles Vermot Desroches, President of SEEAA, and Senior Vice President at Schneider Electric, said, “Through the innovative and scalable SunPro+ solution, Freyr Energy can contribute to mass-market adoption of solar energy, generating significant environmental impact while creating employment opportunities within their network of vendors.”
SEEAA is a €20.9 million (~$25 million) impact investment vehicle funded by Schneider Electric, Norfund, EDFI ElectriFI, and Amundi dedicated to investing in start-ups, increasing quality of life, and boosting economic development in Asia.
Commenting on the follow-on investment by C4D Partners in Freyr Energy, Arvind, Partner, C4D Partners, said, “Through their technology, Freyr Energy has the potential to change how rooftop solar is sold and managed in India and other countries. Freyr Energy could bring in the much-needed consolidation in the sector.”
C4D Partners invests in promising, scalable, impactful MSMEs, primarily in India and Indonesia.
In 2018, Freyr Energy had raised ₹270 million (~$3.81 million) through a mix of equity and debt investments, leveraging its technology platform to push decentralized solar in both India and abroad.
Global VC funding for the solar sector in Q1 2021 came to $1 billion in 14 deals, a 33% increase compared to $773 million raised in 12 deals in Q4 2020, according to Mercom Capital Group’s Q1 2021 Solar Funding and M&A Report.