Cygni Energy Private Limited, a solar DC and microgrid solutions provider, has raised $6.4 million in funding through a combination of equity and debt funds.
The funds will be utilised in expanding its capacity, strengthening research and development capabilities, and increasing market reach.
The equity funding has been provided by Endiya Partners, a leading early-stage venture capital firm that invests in product start-ups. The debt funding has been made possible by IndusInd Bank, a leading private bank in India. In 2014, Cygni raised its initial funding, and also received a grant from Millennium Alliance (FICCI in partnership with USAID, TDB, and World Bank) for developing solar-DC microgrid systems.
Cygni manufactures solar controllers and provides various solar DC and microgrid solutions, and its products are in use in more than 20,000 homes, according to the company’s statement.
“This round of funding will help us strengthen our product offering and enhance customer experience. It will enable us to achieve our mission of building great products that will facilitate rural development and electrification in our country and other parts of the world. We are excited to welcome Endiya Partners as a new investor and mentor,” said Venkat Rajaraman, CEO of Cygni Energy.
Sateesh Andra, Endiya Partners also commented, “We see Cygni take a unique position to revolutionize the way energy is stored and consumed by using technology to provide affordable clean energy to consumers. The company’s rapid growth demonstrates the strong demand for easy, affordable access to renewable energy in our country,”
The company posted annual revenues of $7.8 million for the financial year 2018 and is looking at a growth of 300-400 percent in the next fiscal.
Recently, the data released by Mercom Capital Group’s Q2 2018 Solar Funding and M&A Report found that the total corporate funding, including venture capital funding, public market, and debt financing rose to $5.3 billion in the first half (1H) of 2018 compared to the $4.6 billion raised in 1H 2017. This correlates to a 15 percent increase year-over-year (YoY).