Nuru, a renewable energy-powered metrogrid company in Africa, has recently concluded a successful Series B equity funding round, securing over $40 million in investment. Additionally, the company expects to finalize an additional $28 million in project finance by the end of this month. These funds will enable Nuru to commence the construction of 13.7 MWp (megawatt peak) projects, significantly expanding its existing operating assets in the eastern Democratic Republic of the Congo (DRC) and addressing the country’s substantial energy deficit.
The investment amount of over $40 million comes from a group of prominent equity investors. These include the International Finance Corporation (IFC), the Global Energy Alliance for People and Planet (GEAPP), the Renewable Energy Performance Platform (REPP), Proparco, E3 Capital, Voltalia, the Schmidt Family Foundation, GAIA Impact Fund, and the Joseph Family Foundation. It’s worth noting that the IFC’s equity investment includes financing from the Finland-IFC Blended Finance for Climate Program. The participation of these market-leading investors demonstrates their shared commitment to Nuru’s vision of expanding energy access and transforming the lives of 5 million individuals in the DRC.
Reasons for the Investment
The decision of these investors to support Nuru’s Series B funding round is based on several crucial factors. Firstly, less than 20% of the DRC’s population currently has access to reliable energy. Nuru’s innovative approach to renewable energy provides a promising solution to address this issue. As the demand for energy continues to rise in the DRC, Nuru’s utility-scale solar metrogrids, equipped with cutting-edge technology and services, offer a reliable and sustainable energy source for urban communities. This access to renewable energy unlocks significant market potential, making Nuru an attractive investment opportunity.
Secondly, Nuru’s metrogrid model has proven to be viable and successful in the distributed energy sector in Africa. The company’s current operating metrogrid portfolio in cities such as Goma, Beni, Tadu, and Faradje, established with the support of previous investments, showcases Nuru’s ability to implement and maintain its renewable energy infrastructure effectively. This track record of success and the potential for further expansion contribute to the investors’ confidence in Nuru’s long-term prospects and the impact it can make in the DRC.
A Look at NURU
Nuru was founded in 2015 and is headquartered in Goma, Democratic Republic of the Congo. The company’s mission is to provide energy that unlocks the incredible human potential in the DRC. By delivering world-class renewable energy and connectivity services, Nuru aims to empower 5 million Congolese people, one connection at a time.
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The founders of Nuru are Jonathan Shaw, who currently serves as the CEO, and additional co-founders whose identities are not explicitly mentioned in the provided information.
Nuru primarily operates in the eastern Democratic Republic of the Congo (DRC), focusing on cities such as Goma, Beni, Tadu, and Faradje. The startup’s goal is to bridge the substantial energy gap in the country, where less than 20% of the population currently has access to energy. Nuru achieves this by implementing utility-scale solar metrogrids integrated with advanced technology and services. These metrogrids provide 24/7 reliable and renewable energy to urban communities, fostering climate resilience and sustainable development.
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It’s important to note that Nuru’s efforts have gained recognition and support from various organizations. The company received initial investments in March from REPP, Proparco, and E3 Capital, which helped bridge the financing gap leading up to the Series B equity fundraising round. Nuru’s Series A round in 2018 was led by E3 Capital and EDFI ElectriFI, the EU-funded Electrification Financing Initiative.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard