MPower Ventures Secures $2.7 Million Funding to Expand Solar Solutions Across Africa

Climate fintech MPower Ventures AG has secured $2.7 million in a funding round supported by the Foundation for Clean Energy and Energy Inclusion for Africa (CEI Africa) alongside crowdfunding platforms Klimja and Republic. The funding, structured as a combination of equity and subordinated debt, is aimed at accelerating MPower’s expansion across West and Southern Africa, where the company delivers small- and medium-scale solar energy solutions.

CEI Africa has pledged €1.1 million ($1.2 million) to MPower, marking its first co-investment with crowdfunding platforms. This investment is part of MPower’s broader crowdfunding campaign, which has successfully raised €795,000 ($860,000) on Klimja and €1.7 million ($1.85 million) on Republic, with additional contributions from angel investors. The capital will enable MPower to expand its distributor network, enhance its product portfolio, and develop financing solutions that will improve access to clean energy.

Established in 2017 by Manuel Seiffe, Greg Nau, and Michael Eschmann, MPower operates on a business-to-business (B2B) model that integrates hardware, software, and financing to distribute solar products across Africa. The company focuses on markets with unreliable or nonexistent electricity grids, providing solar solutions for households, small businesses, and agribusinesses. MPower’s business portfolio is structured around four core segments.

• Small solar home systems
• Backup power solutions
• Small-scale commercial and industrial (C&I) solar projects
• Productive-use equipment and e-mobility solutions

Through a combination of financing and distribution, MPower empowers solar installers, distributors, and corporate clients to acquire and implement solar solutions with greater efficiency. To date, the company has successfully sold more than 50,000 solar products across seven African countries: Zambia, Cameroon, Togo, Ghana, Namibia, Botswana, and Zimbabwe.

MPower’s CEO and co-founder, Manuel Seiffe, underscored the importance of financial innovation in tackling energy poverty: “At MPower, we are convinced that solar energy, when paired with accessible financing, represents one of the most powerful drivers of economic growth in Sub-Saharan Africa. With CEI Africa’s investment and the backing of crowdfunding, we can accelerate our efforts to deliver clean and affordable energy solutions.”

Established in 2021 by KfW on behalf of the German Federal Ministry for Economic Cooperation and Development, CEI Africa focuses on closing financing gaps in rural electrification initiatives. Steven Evers, a member of CEI Africa’s executive board, emphasized MPower’s influence: “This investment will provide MPower with the resources needed to expand its reach and deliver off-grid solar solutions to more underserved communities across Africa.”

MPower’s business model is structured to enhance efficiency for distributors while increasing affordability for end-users of solar products. The company’s proprietary software improves supply chain management by automating customer relationship management (CRM) processes and optimizing inventory logistics. By leveraging technology, MPower effectively lowers operational expenses, allowing for scalable and sustainable growth.

The company has secured financial support from institutional investors, impact funds, and international development organizations, including South Pole, InnoEnergy, the Swiss Capacity Building Facility, and UK Aid. Furthermore, MPower has gained recognition from global entities such as the Solar Impulse Foundation and the Climate-KIC Accelerator for its advancements in climate-friendly innovation.

With new funding secured, MPower Ventures is set to expand its footprint in Africa’s solar sector, increasing access to reliable and sustainable energy for underserved communities.

Source 

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