Since commercial launch in 2015, PEG Africa has become a leading off-grid asset-financing provider in West Africa, distributing PAYGO solar home technology to consumers and micro-businesses. As of June 2020 the company had served nearly 100,000 households, installed 2.14 MW of renewable capacity, employed over 490 full-time staff, and operated 80 service centres across Ghana, Côte d’Ivoire, Senegal and recently Mali. PEG’s core product is pay-as-you-go solar home systems, and the company is expanding its offering to include productive-use appliances such as solar water pumps for smallholder farmers. The company has qualified as a 2X Challenge UPvestment with CDC group and has pursued gender-diversity initiatives supported by Power Africa. EDFI ElectriFI’s financing is being used to accelerate distribution in Côte d’Ivoire and to catalyse additional funding for growth and productive-use deployments. PEG Africa, founded in 2013 and based in Ghana, provides Pay-As-You-Go solar home systems and related services. Since its debut it has provided solar electricity to over 400,000 users across Ghana, Cote d’Ivoire, and Senegal. The company also offers solar water irrigation services and larger solar power systems for multinational customers. PEG Africa raised $4 million in debt capital from UK-based CDC Group to expand its PAYG operations in Senegal. The Senegal branch has experienced exponential growth in the past 12 months and has become profitable. Prior to this debt raise, PEG Africa had secured almost $30 million over the prior two years, including a $25 million Series C announced in January. PEG Africa finances and deploys pay-as-you-go (PAYG) solar systems to consumers and SMEs, helping customers replace appliances that depend on grid power with solar alternatives. The company serves over 400,000 consumers across Ghana, Côte d’Ivoire, and Senegal and has recently expanded into solar water irrigation and larger solar power systems. Management says PEG has almost doubled in size every year since 2015, which it cites as evidence of financial sustainability. The newly secured $5 million will be used to boost its existing markets and support further expansion across West Africa. The funding is structured as junior debt provided by the Electrification Financing Initiative (ElectriFI), which is sponsored by the European Union and managed by the EDFI Management Company. ElectriFI’s financing is backed by UK DFI, CDC Group, and SunFunder, groups that previously provided a $15 million senior secured local‑currency debt facility to PEG earlier in 2019. PEG Africa provides PAYG financing for solar home systems across Ghana, Ivory Coast and Senegal, serving over 60,000 households. The company focuses on replacing polluting fuels like kerosene by offering cleaner, cheaper solar solutions to low-income customers. More than 50% of PEG’s customers earn less than US$3 per day; 89% lack access to the national grid and 82% had never received financing before PEG. Headquartered in Ghana, PEG says it is expanding rapidly and profitably while improving lives in the region. The company plans to use the new funding to further establish itself as a market leader and expand service delivery across West Africa. Its funding history includes a US$13.5M round in 2017 and two rounds in 2016, taking total funding to US$50M. PEG Africa provides pay-as-you-go (PAYG) solar home systems to off-grid and rural customers, focusing on areas without reliable access to electricity. The company combines product sales with financing to expand residential solar adoption. It secured US$1.5 million in debt financing to deploy systems sufficient for roughly 75,000 residents in Ghana. PEG Africa has a stated goal of financing 500,000 households in West Africa by 2020. In parallel with the debt raise, PEG Africa won a grant from USAID's Scaling Off-Grid Energy Grant Challenge to pilot new innovations for its PAYG business. CEO Hugh Whalan described the debt deal as a landmark for the off-grid PAYG solar sector, and the firm noted legal support from Nixon Peabody on the transaction.

Total raised

$45M

Funding rounds

8

Latest round

Debt Financing

Latest activity

Nov 2020