Hohm Energy, a South African climate Fintech company helping homeowners and businesses go solar with accredited solar installers, product suppliers and integrated solar financing, has raised $8 million in a seed round.
The funding marks the largest seed round for a tech startup in South Africa at a total of $8 million, led by E3 Chapter and 4DX Ventures and attracted the participation of new investors including Breega, E4E Africa, TO.org, Tekton Ventures, Sunu Capital, Musha Ventures and Climate Capital Ventures.
What happens next?
Hohm Energy will now accelerate the adoption of rooftop solar in the region by investing in its new cutting-edge climate fintech strategy, further enhancing technology, product innovation and solar installation skills development to make rooftop solar more affordable, reliable and affordable. All.
About the company
Started in 2021 from Tim Olsen and Emir Glubegovic, Hohm Energy has revolutionized the entire end-to-end solar journey by building its own proprietary software platform and marketplace that helps connect everyone in the value chain.
The company is leveraging technology to address challenges in South Africa Complex $51.4 billion rooftop solar dealsimplifying the design, planning and procurement process for installers and improving accessibility for buyers, mitigating delays, installation defects, compliance risks and financing barriers.
Between the lines
Amid a growing energy crisis, South Africa is in the grip of escalating power shortages, resorting to daily power rationing to prevent a nationwide grid collapse. Eskomthe state-owned power company, has acknowledged a staggering power shortfall over 6,000 megawatts at times.
By The Numbers
IHohm Energy provides an alternative and sustainable source of energy to 7.7 million addressable householdshelping to reduce pressure on the national grid.
To date Hohm Energy has created over 17,000 custom solar roof designs using the solar suggestion engine worth $190 millionorigin over $90 million in funding applications to its retail banking partners.
How Hohm Energy works
Hohm Energy customers can determine their properties’ solar energy requirements digitally and efficiently through the platform and have access to credit financing and an order and fulfillment process that extends to after-sales services, including repair and maintenance.
Hohm Energy has partnerships with the majority of South African retail financial institutions such as Investec, Nedbank, MFC, FNB, Wesbank and Capitec clients have access to the platform’s financing and credit assessment process to secure structured financing from these institutions.
In addition, Hohm now offers solar energy subscription service to South African households, powered by Glint, making solar more affordable than ever with a completely new and digital solar shopping experience.
What they say
Speaking of investment, Tim Olsenthe CEO of Hohm Energy stated “The energy system in South Africa is broken. ClimateTech is the key to solving current challenges by providing a scalable and sustainable alternative.
Our robust software platform and fintech marketplace, which enables us to deliver value to all stakeholders, is instrumental in improving the efficiency of rooftop solar and ultimately mitigating the severity of load shedding. We are honored to partner with established global investors who share our passion and vision and help us achieve our mission on a larger scale.”he added.
Vladimir DuginSenior Partner at E3 Capital added “We are excited to announce our inaugural investment in Hohm Energy. With its technological approach, Hohm is at the forefront of South Africa’s green energy revolution. The team is uniquely positioned to create a ‘one stop shop’ for all green solutions for residential customers and address existing energy supply challenges.”
Following the investment, the company will also launch the Hohm School program, designed to train and empower local solar installers, through the Hohm Energy Standard for Solar Systems Installations (HESSSI), across the country.
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