CardinalStone Capital Advisers (CCA), a West Africa-focused private equity fund manager, is pleased to announce that its CardinalStone Capital Advisers Growth Fund (CCAGF) has led an $18 million Series B investment in Arnergy Solar, a leading Nigerian renewable energy company. Investing alongside CCA, British International Investment (BII) – a Limited Partner (LP) in CCAGF – joins as a new investor in the business.
The round also includes existing investors: Norfund – the Norwegian Investment Fund for Developing Countries, Breakthrough Energy Ventures (BEV), EDFI Management Company (EDFI MC), and All On. This milestone reflects strong confidence in Arnergy’s mission to accelerate sustainable energy adoption while consolidating its position as Nigeria’s leading renewable energy player.
Femi Adeyemo, Founder and CEO of Arnergy, while speaking on the investment, said, “We are excited and proud to have raised capital from a stellar syndicate of investors at a time when the market needed it most. This funding enables us to extend our high-quality solar products and services to the mainstream at competitive rates. With a nationwide expansion of our innovative zero-down, rent-to-own models, we are leveraging strategic distribution partnerships to provide a highly reliable alternative to traditional energy sources.”
On the transaction, Shirley Somuah, Partner at CCA, commented: “CCA is pleased to have led this round alongside a strong group of investment partners. Arnergy has been a pioneer in mid-scale innovative, affordable off-grid solar, and we are excited to be a partner for this next phase of growth. Our investment in Arnergy is closely aligned with our premise of backing businesses that meet fundamental unmet demand and with one of our key investment themes – climate. We have confidence in the team’s ability to continue to achieve execution excellence in a challenging market.”
Benson Adenuga, Coverage Director and Head of Nigeria Office at BII, while speaking on the transaction, said: “Nigeria’s immense potential can be unlocked through improved access to electricity. We are pleased to support Arnergy, a leading C&I solar company, in partnership with CCA and other investors. This initiative will facilitate the installation of more solar systems across the country. It will drive sustainable economic growth by providing clean energy sources and empower more Nigerians and their businesses. This is aligned with BII’s commitments to supporting sustainability and inclusion in Africa.”
Arnergy marks the seventh and final investment for CCAGF, and this milestone highlights CCA’s ability to successfully identify and support businesses in challenging private equity markets. CCA is excited to contribute to Arnergy’s growth and looks forward to seeing its continued success in the renewable energy sector.
