MKOPA Solar

M-KOPA, headquartered in Nairobi, Kenya, is a consumer lending company that uses an innovative SIM-card-based payment system to help off-grid consumers at the Base of the Pyramid to finance purchase of solar home lighting systems. Since its commercial launch in October 2012, M-KOPA has connected more than 375,000 homes in Kenya, Uganda and Tanzania to solar power. These solar products enable enhanced productivity levels, allowing children to study longer and shopkeepers to remain open after dark.

Regions Impacted

Eastern Africa

Investment Type

Asset-backed senior term loan with first lien on customer receivables.

Co-Investors

Bill & Melinda Gates Foundation (lead investor), Acumen Fund, Netri Foundation, among others

MKOPA - John in Nakuru 2014Investment Date

November 2013

Amount Invested

$250,000 US Dollars

Term

Five years

Impact Metrics

  • Kilowatt hours of clean energy produced
  • Dollars saved total vs kerosene
  • Metric tons carbon displaced
  • Customers with sub-$2/day income
  • Individuals living in households with M-KOPA devices

Returns through December 31, 2016

4.0% IRR

Impact Metrics for 2015

  • 152,263 Solar units sold
  • 130,488 Metric tonnes CO2 emissions reduced

Testimonial

M-KOPA Solar has scaled up quickly because our management and investors are focused on addressing a real and pressing issue—the lack of access to power for low-income families around the world. This is affecting the health, productivity and well-being of millions. The investment team at FSM has been fantastic for us. They share our vision for transforming lives through access to energy, affordable finance, and a range of productive assets. Jesse Moore, CEO, M-KOPA Solar