The Series B funding round was led by EDFI ElectriFI and also saw participation from Schneider Electric Energy Asia Fund, Lotus Capital LLC, among others
Founded in 2014 by Radhika Choudary and Saurabh Marda, Freyr Energy offers a range of smart solar rooftops to homes and businesses
The startup will use the fresh capital to cater to rising demand, grow its team, and for product development and marketing
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Solar energy startup Freyr Energy has raised INR 58 Cr (about $6.9 Mn) in its Series B funding round, led by EDFI ElectriFI. Schneider Electric Energy Asia Fund (SEEAA), Lotus Capital LLC, Maybright Ventures and VT Capital also participated in the round.
Founded in 2014 by Radhika Choudary and Saurabh Marda, Freyr offers a range of smart solar grids to homes and businesses.
The cofounders told Inc42 that the startup will use the fresh capital to cater to rising demand, grow its team, and for product development and marketing.
Marda said the penetration of solar energy is less than 2% in India currently and the startup is aiming to leverage this untapped opportunity. He added that Freyr has raised a total funding of approximately INR 86 Cr (about $10 Mn) to date and has grown 6X over the last two financial years.
“Our growth is spread evenly across Tier-I, II, III and IV cities, with independent homes being the major revenue generator. Thus, for the current financial year, we aim to focus majorly on the retail sector,” said Marda.
Commenting on the investment, EDFI’s CEO Rodrigo Madrazo said that the Indian solar energy market is not yet organised and making use of this opportunity, Freyr is offering technology and consumer financing to allow retail customers to transition seamlessly to solar power and reduce their electricity bills.
The startup claims to have digitised its entire customer journey from exploring to owning a solar system through its proprietary SunPro+ App. “We make it a hassle-free experience for the customer by managing the entire process of designing, procuring, and installing rooftop solar systems using highest quality standards for the most optimal system performance,” the startup said in a statement.
Freyr competes with the likes of Aerem, Loom Solar, and Solar Ladder.
Earlier this year, Loom Solar secured $2 Mn funding to power Indian homes with solar energy.
As per a study by Statista, electricity generation capacity of the Indian solar energy ecosystem was projected to be 39.95 Bn KWh in 2023, which is expected to grow at 7.13% CAGR by 2028.
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