26 October 2018 (Arusha, Tanzania)
Mobisol GmbH, a leader in the burgeoning solar-home-systems industry, announced a follow-on growth equity investment from its main shareholders today. The capital will be deployed into the ongoing expansion in Mobisol’s core markets in Tanzania, Kenya, and Rwanda, including expansion of the company’s product range and expansion into the company’s recently expanded “B2B Distributor Partner” business in other geographies. The company is expanding its product range to include new solar home systems, solar lighting systems, and solar business systems.
Part of the B2B strategy involves a major upgrade and eventual carve-out of Mobisol’s proprietary Paygee enterprise software into a stand-alone company capable of providing independent solutions to external customers. Paygee is rapidly becoming the industry standard for managing “Pay As You Go” (PAYGO) financial relationships with solar-home-system customers, and the planned upgrade will see the enterprise software expand its offering to include additional languages, currencies, and payment options.
An SPV managed by Investec Asset Management led the financing round. The SPV, which includes the FMO and IFC, made its initial investment in Mobisol in 2016. Mark Jennings, a Principal at Investec Asset Management, said, “We are pleased to continue supporting Mobisol as it achieves its ambitious strategic objectives. We are particularly excited about the growth in the distribution and software businesses, which are an attractive complement to the core B2C efforts in East Africa.”
“FMO is proud to be supporting a truly transformational company which is at the core of FMO’s investment mandate. Support for solar home system (SHS) companies during their next phase is essential for the development of the sector.”
Diana Wesselius, manager of the Private Equity Energy team at FMO
Thomas Gottschalk, Mobisol’s founder and CEO, said “Our industry is going through a period of extraordinary growth and change. We are excited about the next phase of Mobisol’s development, where we will capitalize on our market-leading innovation and product quality to build out our B2B distributor business.”
Stefan Zelazny, who is leading the newly formed Paygee business unit, said “We have built Paygee over the last several years to serve the growth of Mobisol, and to incorporate learnings and best practices from the PAYGO sector into the software platform. We have recently started offering the software to other players in our sector, with very encouraging initial results. We appreciate our shareholders’ support as we continue to build-out Paygee into a stand-alone software company.”