Daystar Power, a leading hybrid solar power provider for businesses in West Africa, has announced its securing of a $20-million facility from the International Finance Corporation (IFC).
The funding will help the power company expand its Nigeria operations, as it plans to grow its installed solar power capacity to 140MW by 2024.
Commenting, Daystar Power CEO and Co-Founder Jasper Graf von Hardenberg said the facility is a major milestone that will allow the company to increase the capacity of its solar projects and serve more Nigerian businesses.
“We gain more than just capital,” Hardenberg said. “The IFC brings a wealth of in-depth knowledge of renewable energy projects and project finance in emerging markets. We’re delighted to work with them.”
While it currently manages and operates 150 power installations in Nigeria, the company is looking to increase its client base in financial services, manufacturing and agriculture with the latest raise.
Since the start of the year, the clean energy company has secured $62 million in financing. In January, Daystar Power secured $38 million in Series-B funding to scale up its operations in West Africa.
The Series-B round was led by the Investment Fund for Developing Countries and Danish Development Finance Institution (DFI), and also features the French impact infrastructure fund STOA, the French DFI Proparco, backed by a guarantee from the EU under the African Renewable Energy Scale-Up facility, and Morgan Stanley Investment Management.
It further raised $4 million in financing from the German Investment Corporation for its Ghanaian subsidiary. The new IFC $40-million raise sums up the Daystar Power round in 2021, bringing it to a total of $62 million.
Daystar Power was co-founded by Hardenberg and Christian Wessels in 2017. It is an off-grid power service provider whose solutions provide clean and reliable power, while significantly reducing clients’ overall power costs.