Lagos-based renewable energy firm Rensource raises $20M from venture capitalists

Rensource Energy, a Lagos-based renewable energy company, has raised $20 million in a Series A round investment.

The new investment, which was co-led by CRE Venture Capital and the Omidyar network, is to see the funding of Rensource business as it continues on the path to fuel Africa by harnessing solar energy.

According to Rensource, its business is fast shifting from residency to market power distribution.

Rensource revealed this in a statement on Wednesday, where its cofounder, Ademola Adesina, emphasised why the company has chosen to go the market way.

Read also: IMF says Nigeria, others raised global debt to $188tn

Ademola said: “We’ve pivoted away from a residential focus…and we’re building much larger systems to become essentially the utility for these large urban markets.”

According to Ademola, it is not an exaggeration to say that in a country of about 200 million heads with large geographical area, “we have a lot of (these markets) in Nigeria.”

While Nigeria might be a good market space to operate for Rensource, it has also pledged to solve the problem of lack of affordable and reliable electricity in Nigeria.

In the energy sector, Rensource, obviously, is coming to stiffen competition for the likes of Arnegy, Lumos and Asteven who are operating similar models. With the $20M funding, the future will tell if Rensource’s business, as a renewable energy player, is promising.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now