Sustainability-focused investment manager Mirova announced today the acquisition of SunFunder, an emerging-markets-focused provider of financing for renewable energy projects.
Founded in 2012, SunFunder is a private debt management firm that finances renewable energy projects in Africa and Asia. Since 2012, the company has launched different blended finance investment vehicles and closed more than $165 million in investments across companies deploying clean energy such as off-grid solar home systems in Malawi, village mini-grid projects in Kenya, and commercial and industrial rooftop installations in Nigeria and Thailand.
Philippe Zaouati, CEO of Mirova, said:
“In order to thoroughly address the challenges that come with the fight against global warming and social inequalities, having a local presence in emerging countries is critical. We are delighted that SunFunder’s teams, with their proven experience and expertise, are joining us.”
Mirova stated that it intends to retain the entire SunFunder team, with the goal of building a broader emerging markets platform dedicated to clean energy and climate investments. The companies expect to launch a solar energy debt financing fund, with an investment capacity of $500 million, targeting approximately 70 projects across Africa, Asia, and Latin America. First closing on the new fund could take place as soon as the end of this year.
Audrey Desiderato and Ryan Levinson, Co-founders of SunFunder, added:
“We couldn’t imagine a better partner to join forces with than Mirova, a company with a mission and strong culture of impact that we share. We’ve heard a lot of talk about ESG investment, but there are very few companies like Mirova and SunFunder leading the pack with 100% truly sustainable investments. Together we will become the leading clean energy and climate investor in emerging markets, through bold new investments with real impact.”