The problem
Nigeria runs on self-generation: an unstable national grid forces homes and businesses onto diesel generators just as fuel prices climb, while hospitals, schools and SMEs lose productive hours to every blackout.
How it works
Arnergy designs and deploys modular solar systems with lithium-ion battery storage for residential, commercial and industrial customers. Instead of demanding full payment upfront, it offers zero-down rent-to-own and Energy-as-a-Service plans repaid over time, and its proprietary IoT monitoring tracks every installation remotely. The company operates across 35 Nigerian states.
Pain points
Unpredictable blackouts, diesel costs that eat SME margins, and solar prices that lock out everyone without lump-sum cash.
Business model
Outright equipment sales plus recurring rent-to-own and Energy-as-a-Service payments, expanded through distribution partnerships targeting healthcare, education and SME customers.
Challenges
Each new system ties up hardware capital ahead of repayment, so growth is funding-hungry; rent-to-own books carry collections risk in a tough economy; panels and batteries face FX and import costs; and cheap installers plus entrenched generator dealers compete on price.
Funding
- Raised: $18M Series B closed April 2025 — a $3M first tranche in 2024 plus a $15M extension led by CardinalStone Capital Advisers Growth Fund, with British International Investment joining as a new investor and Norfund, Breakthrough Energy Ventures, EDFI MC and All On reaffirming (CardinalStone press). Earlier: $9M in June 2019 from Breakthrough Energy Ventures and Norfund (Wikipedia). Total raised over $27M (Wikipedia).
- Valuation: MISSING.
Latest — April 2025
Arnergy closed its $18M Series B led by CardinalStone with BII joining, and announced plans to deploy 12,000 additional solar systems across Nigeria by 2029, having reached 1,800 systems, 9MWp installed and 23,000 tonnes of CO₂ avoided.