Off-grid Solar firm PEG Africa has raised US$13.5 million in a debt and equity financing to expand its operations in Ghana and Ivory Coast with a target to reach 500,000 people through micro-loans for solar home systems.

According to Hugh Whalan, CEO of PEG Africa: “With this funding, PEG Africa will be able to reach a major milestone of extending energy and financing to half a million people. We are excited that we can now accelerate our growth plans in key West African markets. It is testament to the quality of the opportunity that all previous investors have participated in the Series B equity financing.”

PEG Africa issues micro-loans to off-grid customers in rural areas and considered risky by banks and microfinance institutions as they earn $5-$10 per day. The firm uses IoT technology to control the solar systems remotely as they pay for the devices and best portable generators over time in small increments.

PEG Africa raised the funds from SunFunder, ResponsAbility, Oikocredit, Global Partnerships and Palladium Impact Investments. The Series B financing brings the total funding raised by PEG Africa to over $21M USD from investors such as Blue Haven Initiative, with participation from EAV, Investisseurs & Partenaires (via IPAE 1 fund), ENGIE Rassembleurs d’Energies, Acumen and PCG Investments.

Audrey Desiderato, COO of SunFunder, said, “We have seen PEG Africa achieve major milestones in the last few years. By structuring and arranging this syndication on PEG’s behalf, we have provided scalable financing so they can focus on their core business.”