Solar energy financing in Africa just got a massive boost. d.light, the Stanford-born solar company that’s been quietly revolutionising energy access across the continent, has expanded its receivables financing facility to purchase over $300 million worth of consumer debt, pushing its total securitised financing capacity to a staggering $842 million across five facilities.
d.light now has nearly $1 billion in financing firepower dedicated to getting solar products into the hands of Africa’s off-grid communities. That’s real, institutional investment backing consumer purchases of solar home systems across Kenya, Uganda, Tanzania, and Nigeria.
The expanded “Brighter Life by d.light” (BLd) facility wants to reach an estimated 10 million people over the next two years through d.light’s PayGo financing model. For families earning less than $5 a day, paying $200 upfront for a solar system simply isn’t feasible. But paying $2 a week? That changes everything.
“The expansion of BLd marks a pivotal moment in our journey to provide affordable solar energy to millions,” said d.light CEO Nedjip Tozun. “Securitisation has been a crucial innovation that has allowed us to scale our consumer financing offering, unlocking affordability and enabling us to reach more households, improve livelihoods, and contribute to a sustainable future.”
The facility is multi-currency, addressing currency risk, one of the biggest headaches for companies operating across multiple African markets. This means d.light can now offer consistent pricing and terms whether you’re in Nairobi, Kampala, or Dar es Salaam.
A track record that works with smart money
d.light’s approach has proven to work. In February 2024, the company’s $110 million Brighter Life Kenya 1 Limited facility became the first in the off-grid solar sector to fully repay its senior debt ahead of schedule from internally generated cash flows. This shows that customers are actually paying back their loans, and the business model is sustainable.
Since 2007, d.light has sold 40 million products and impacted over 200 million lives, proving that the bottom of the pyramid can indeed be a profitable market when approached correctly.
The funding expansion was provided by Mirova, a Paris-based sustainable investment firm, and arranged by African Frontier Capital. This funding is betting on d.light’s ability to generate returns whilst expanding energy access.
“Mirova is proud to continue supporting d.light in their mission to provide clean energy for all,” said Rim Azirar, Deputy Head of Emerging Markets Energy Transition at Mirova. “This expansion of Bld, provided through our investment strategy dedicated to energy transition in emerging markets, highlights the effectiveness of securitisation vehicles in scaling financing for solar home systems.”
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Eric De Moudt, CEO of African Frontier Capital, added: “We are proud to continue our partnership with d.light and support their efforts in expanding energy access. The success of BLd demonstrates the effectiveness of innovative financing models in driving social impact.”
Why this matters beyond solar
d.light’s securitisation success shows how consumer financing can work in Africa’s informal economy. By packaging thousands of small PayGo loans into investment-grade securities, the company has created a bridge between international capital markets and African consumers.
This model could be applied to everything from smartphones to agricultural equipment, provided companies can demonstrate the same level of payment discipline and operational excellence that d.light has achieved.
The company’s vision to transform the lives of one billion people with sustainable products looks increasingly achievable as the securitisation model proves its worth.
With nearly $1 billion in financing capacity and a proven track record of customer payments, d.light has positioned itself not just as an energy company, but as a financial services provider that happens to sell solar systems. In Africa’s rapidly evolving fintech landscape, that might be the most important distinction of all.