d.light, the global provider of transformational household products and affordable finance for low-income households, today announced the closing of a new securitization facility that will purchase USD$176 million of receivables in Kenya, Tanzania and Uganda.
The fund was powered by social impact-focused asset management company, African Frontier Capital. The facility is multi-currency and will enable access to reliable, renewable energy for an estimated six million people across the three countries over the next three years.
According to a statement by the company, the facility will be used to scale up its PayGo consumer finance offering to make solar-powered products available to more low-income households and communities without access to electricity.
With this new facility, d.light has now closed securitized financing with a total combined purchasing value of USD$718 million across five separate facilities since 2020.
Recall that in August, the company announced that it secured a $30 million securitization facility from the Eastern and Southern African Trade and Development Bank Group (TDB Group), with the capability to purchase up to $125 million of receivable assets.
Commenting on the news, d.light CEO, Nedjip Tozun said, “This new facility is another landmark step in d.light’s mission to provide people with affordable energy that is also clean, safe and sustainable. It lets us expand our reach so that millions of off-grid families across Kenya, Tanzania and Uganda can experience the benefits of solar energy.
“Facilities like this make possible our pioneering PayGo consumer financing model with which we can offer solar home systems and high-efficiency appliances to the people that need them most in a way that is affordable and sustainable.”
Tozun continued, “With this new facility, d.light has for the first time in its history receivables-based financing facilities in each of our PayGo markets – Kenya, Uganda, Tanzania, and Nigeria. These facilities allow d.light to remain consistently cash flow positive and remove the requirement for further external equity fundraising to fund our growth.”
More about d.light’s off-grid solar financing model
Founded in 2007 by Ned Tozun a Canadian & Sam Goldman an American who met at Stanford Business School, d.light operates in over 70 markets globally. The company claims that it has sold nearly 30 million products, including solar lanterns, solar home systems, TVs, radios, and smartphones, impacting the lives of over 150 million people.
d.light has a proven track record in the use of securitized finance to support its solar-powered household products in sub-Saharan Africa. The company has been working with distribution partners in Kenya, Uganda and Tanzania since 2010, and has had operations in Kenya since 2011, in Uganda since 2015 and in Tanzania since 2016.
In February 2023, d.light announced that its USD$110 million securitization facility, Brighter Life Kenya 1 Limited (BLK1) successfully repaid its entire senior debt in full and ahead of schedule from internally generated cash flows – the first facility in the off-grid solar sector to do so.
Speaking on its milestone, Eric De Moudt, AFC’s founder and CEO, said:
“This milestone is a testament to how data-driven financial innovation can play an important role in bringing financial inclusion to the world’s most vulnerable communities, helping them to gain access to clean and modern energy and the ensuing social and economic benefits that come about as a result. We are grateful to d.light for its ongoing leadership in the off-grid solar sector and proud to partner with such a visionary company.”
In response to the extra pressure on household incomes, d.light has adapted its product strategy by unbundling multiple solar-powered products from a single package and making them individually available to buy as and when customers have the money to do so, financed by d.light’s low-cost Pay-Go service.
d.light CFO Ron Pfende explained how d.light has adapted its business to the challenges of current global economic conditions. “The difficult macro-economic circumstances of recent years caused by the pandemic, followed by the disruption from the war in Ukraine, continue to affect people’s everyday lives. Disposable income has fallen, and people already on a low income now have even less money in their pockets to spend“.
Read also: d.light reports 41% revenue surge in H1 of 2023, driven by 143% growth in Nigeria
d.light, the global provider of transformational household products and affordable finance for low-income households, today announced the closing of a new securitization facility that will purchase USD$176 million of receivables in Kenya, Tanzania and Uganda.
The fund was powered by social impact-focused asset management company, African Frontier Capital. The facility is multi-currency and will enable access to reliable, renewable energy for an estimated six million people across the three countries over the next three years.
According to a statement by the company, the facility will be used to scale up its PayGo consumer finance offering to make solar-powered products available to more low-income households and communities without access to electricity.
With this new facility, d.light has now closed securitized financing with a total combined purchasing value of USD$718 million across five separate facilities since 2020.
Recall that in August, the company announced that it secured a $30 million securitization facility from the Eastern and Southern African Trade and Development Bank Group (TDB Group), with the capability to purchase up to $125 million of receivable assets.
Commenting on the news, d.light CEO, Nedjip Tozun said, “This new facility is another landmark step in d.light’s mission to provide people with affordable energy that is also clean, safe and sustainable. It lets us expand our reach so that millions of off-grid families across Kenya, Tanzania and Uganda can experience the benefits of solar energy.
“Facilities like this make possible our pioneering PayGo consumer financing model with which we can offer solar home systems and high-efficiency appliances to the people that need them most in a way that is affordable and sustainable.”
Tozun continued, “With this new facility, d.light has for the first time in its history receivables-based financing facilities in each of our PayGo markets – Kenya, Uganda, Tanzania, and Nigeria. These facilities allow d.light to remain consistently cash flow positive and remove the requirement for further external equity fundraising to fund our growth.”
More about d.light’s off-grid solar financing model
Founded in 2007 by Ned Tozun a Canadian & Sam Goldman an American who met at Stanford Business School, d.light operates in over 70 markets globally. The company claims that it has sold nearly 30 million products, including solar lanterns, solar home systems, TVs, radios, and smartphones, impacting the lives of over 150 million people.
d.light has a proven track record in the use of securitized finance to support its solar-powered household products in sub-Saharan Africa. The company has been working with distribution partners in Kenya, Uganda and Tanzania since 2010, and has had operations in Kenya since 2011, in Uganda since 2015 and in Tanzania since 2016.
In February 2023, d.light announced that its USD$110 million securitization facility, Brighter Life Kenya 1 Limited (BLK1) successfully repaid its entire senior debt in full and ahead of schedule from internally generated cash flows – the first facility in the off-grid solar sector to do so.
Speaking on its milestone, Eric De Moudt, AFC’s founder and CEO, said:
“This milestone is a testament to how data-driven financial innovation can play an important role in bringing financial inclusion to the world’s most vulnerable communities, helping them to gain access to clean and modern energy and the ensuing social and economic benefits that come about as a result. We are grateful to d.light for its ongoing leadership in the off-grid solar sector and proud to partner with such a visionary company.”
In response to the extra pressure on household incomes, d.light has adapted its product strategy by unbundling multiple solar-powered products from a single package and making them individually available to buy as and when customers have the money to do so, financed by d.light’s low-cost Pay-Go service.
d.light CFO Ron Pfende explained how d.light has adapted its business to the challenges of current global economic conditions. “The difficult macro-economic circumstances of recent years caused by the pandemic, followed by the disruption from the war in Ukraine, continue to affect people’s everyday lives. Disposable income has fallen, and people already on a low income now have even less money in their pockets to spend“.
Read also: d.light reports 41% revenue surge in H1 of 2023, driven by 143% growth in Nigeria
Off-grid solar provider d.light and impact investor African Frontier Capital partner on new financing to support consumer loans for solar and high efficiency appliances in East Africa…
d.light, the global provider of transformational household products and affordable finance for low-income households, today announced the closing of a new securitization facility that will purchase USD$176 million of receivables in Kenya, Tanzania and Uganda.
The fund was powered by social impact-focused asset management company, African Frontier Capital. The facility is multi-currency and will enable access to reliable, renewable energy for an estimated six million people across the three countries over the next three years.
According to a statement by the company, the facility will be used to scale up its PayGo consumer finance offering to make solar-powered products available to more low-income households and communities without access to electricity.
With this new facility, d.light has now closed securitized financing with a total combined purchasing value of USD$718 million across five separate facilities since 2020.
Recall that in August, the company announced that it secured a $30 million securitization facility from the Eastern and Southern African Trade and Development Bank Group (TDB Group), with the capability to purchase up to $125 million of receivable assets.
Commenting on the news, d.light CEO, Nedjip Tozun said, “This new facility is another landmark step in d.light’s mission to provide people with affordable energy that is also clean, safe and sustainable. It lets us expand our reach so that millions of off-grid families across Kenya, Tanzania and Uganda can experience the benefits of solar energy.
“Facilities like this make possible our pioneering PayGo consumer financing model with which we can offer solar home systems and high-efficiency appliances to the people that need them most in a way that is affordable and sustainable.”
Tozun continued, “With this new facility, d.light has for the first time in its history receivables-based financing facilities in each of our PayGo markets – Kenya, Uganda, Tanzania, and Nigeria. These facilities allow d.light to remain consistently cash flow positive and remove the requirement for further external equity fundraising to fund our growth.”
More about d.light’s off-grid solar financing model
Founded in 2007 by Ned Tozun a Canadian & Sam Goldman an American who met at Stanford Business School, d.light operates in over 70 markets globally. The company claims that it has sold nearly 30 million products, including solar lanterns, solar home systems, TVs, radios, and smartphones, impacting the lives of over 150 million people.
d.light has a proven track record in the use of securitized finance to support its solar-powered household products in sub-Saharan Africa. The company has been working with distribution partners in Kenya, Uganda and Tanzania since 2010, and has had operations in Kenya since 2011, in Uganda since 2015 and in Tanzania since 2016.
In February 2023, d.light announced that its USD$110 million securitization facility, Brighter Life Kenya 1 Limited (BLK1) successfully repaid its entire senior debt in full and ahead of schedule from internally generated cash flows – the first facility in the off-grid solar sector to do so.
Speaking on its milestone, Eric De Moudt, AFC’s founder and CEO, said:
“This milestone is a testament to how data-driven financial innovation can play an important role in bringing financial inclusion to the world’s most vulnerable communities, helping them to gain access to clean and modern energy and the ensuing social and economic benefits that come about as a result. We are grateful to d.light for its ongoing leadership in the off-grid solar sector and proud to partner with such a visionary company.”
In response to the extra pressure on household incomes, d.light has adapted its product strategy by unbundling multiple solar-powered products from a single package and making them individually available to buy as and when customers have the money to do so, financed by d.light’s low-cost Pay-Go service.
d.light CFO Ron Pfende explained how d.light has adapted its business to the challenges of current global economic conditions. “The difficult macro-economic circumstances of recent years caused by the pandemic, followed by the disruption from the war in Ukraine, continue to affect people’s everyday lives. Disposable income has fallen, and people already on a low income now have even less money in their pockets to spend“.
Read also: d.light reports 41% revenue surge in H1 of 2023, driven by 143% growth in Nigeria
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