A global provider of transformative household products and accessible finance for low-income households, along with Chapel Hill Denham, Nigeria’s leading alternatives asset manager, have finalized a significant USD$7.4 million (N10 billion) securitized financing facility.
Chapel Hill Denham’s Nigeria Infrastructure Debt Fund will provide the new financing, aimed at expanding d.light’s affordable Pay-Go solar-powered products tailored for low-income households.
African Frontier Capital structured and sponsored the financing, also serving as the master and backup servicer for the transaction.
Nick Imudia, CEO of d.light, expressed enthusiasm about the financing, highlighting its potential to extend access to solar-powered household essentials to more low-income families in Nigeria in a financially sustainable manner.
Imudia emphasized d.light’s successful track record with securitized finance in other Sub-Saharan African nations, underscoring its effectiveness in securing equity for off-grid solar solutions against current and future customer sales.
Bolaji Balogun, CEO of Chapel Hill Denham, described the transaction as a significant step forward in sustainable infrastructure investment in Nigeria. He emphasized its role in fostering innovation in the renewable energy sector and advancing sustainable development goals.
Anshul Rai, Partner at Chapel Hill Denham, noted the milestone as the first large-scale local currency securitization financing for solar home systems and other solar-powered household utilities in Nigeria. He highlighted their commitment to broadening financing solutions to address Nigeria’s sustainable development challenges.
Nigeria, Africa’s most populous country and largest economy, faces significant energy access issues, with a vast number of people lacking reliable electricity. The country heavily relies on greenhouse gas-emitting thermal generation sources for electricity, underscoring the urgent need for a transition to clean and reliable energy sources.
d.light and Chapel Hill Denham are dedicated to supporting this transition through innovative products and financing solutions tailored to Nigeria’s unique energy landscape.
