Ecozen Bags $30 Mn Funding To Offer Solar Solutions To Marginal Farmers

Deeptech startup Ecozen has raised $30 Mn (around INR 249 Cr) in a mix of equity and debt funding.

While the equity was led by existing investor Nuveen, with participation from others, the debt was offered by InCred Credit Fund and the US International Development Finance Corporation (DFC).

The startup plans to use the fresh capital for product development and innovation. 

Founded by Devendra Gupta, Prateek Singhal and Vivek Pandey, Ecozen offers solar-powered systems to small and marginal farmers. The startup claims that two of its products – Ecotron and Ecofrost – have transformed the agricultural irrigation and cold chain industries, respectively.

“The capital raised will enable us to scale our operations and deepen our market penetration in domestic and international territories. We are committed to empowering customers and expediting the transition to climate-smart technologies on a global scale,” said Gupta.

Ecozen uses advanced motor controls, IoT and energy storage technologies to manufacture its modular products. According to the startup, these products have not only boosted the incomes of over 180,000 farmers but have also cut greenhouse gas emissions by 2 Mn tonnes and prevented more than 50,000 metric tons of food loss. 

Ecozen claims to have grown 5X over the last two years with profits growing 3X as well. It expects to double the revenue in the current fiscal year, buoyed by strong demand for existing products and plans to leverage its tech stack of advanced motors and controls, thermal energy storage, AI and IoT to enter new segments undergoing a transition to cleaner energy sources. 

Additionally, the company also looks to expand its offerings and market presence into Africa and Southeast Asia. 

In 2022, the startup raised approximately $31.4 Mn funding in two tranches. Back then, it said that it would scale its operations and shore up its ‘export-related activities’.

The startup is backed by the likes of Omnivore, HDFC Bank, Axis Bank and Northern Arc Group among others.

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