d.light, a leading global provider of transformational household products and affordable finance for low-income households, has announced the closing of a new securitization facility worth USD $176 million. This facility, provided by social impact-focused asset management company African Frontier Capital, will purchase receivables in Kenya, Tanzania, and Uganda.
The new financing will enable d.light to scale up its PayGo consumer finance offering, making solar-powered products accessible to more low-income households and communities without electricity. The multi-currency facility aims to provide reliable, renewable energy to an estimated six million people across the three countries over the next three years.
With the addition of this new facility, d.light has now closed securitized financing with a total combined purchasing value of USD $718 million across five separate facilities since 2020. This significant milestone underscores d.light’s commitment to expanding its reach and impact.
This new facility is another landmark step in d.light’s mission to provide people with affordable energy that is also clean, safe, and sustainable. It lets us expand our reach so that millions of off-grid families across Kenya, Tanzania, and Uganda can experience the benefits of solar energy.”
Nedjip Tozun, CEO, d.light
Tozun further emphasized the importance of facilities like this in supporting d.light’s pioneering PayGo consumer financing model, which allows the company to offer solar home systems and high-efficiency appliances to those who need them most in an affordable and sustainable way.
This new facility enables d.light to have receivables-based financing facilities in each of our PayGo markets for the first time in our history. These facilities allow d.light to remain consistently cash flow positive and eliminate the need for further external equity fundraising to fund our growth.
Nedjip Tozun, CEO, d.light
d.light has a proven track record of utilizing securitized finance to support its solar-powered household products in sub-Saharan Africa, with previous facilities established in Kenya, Nigeria, and Tanzania. The combined purchasing value of these existing facilities, along with the new facility, totals USD $718 million, highlighting d.light’s continued growth and impact in the region.
