Solar energy startup Cygni Energy has successfully raised $6.4 million as the company looks to cater the increasing demand for solar energy across the country. The company raised the funds via combination of equity funding and debt. The equity funding was spearheaded by early-stage venture capital firm Endiya Partners, while the debt funding was done by IndusInd Bank.
The capital infusion will help Cygni in further increasing its solar capacity and consolidating the R&D capabilities. The company also plans to use the funds to increase its market reach across the country.
Cygni Energy carries with it the unique distinction of being one of the first startups to be recognized by Indian government’s Startup India’ programme. According to reports, the company had raised seed funding in 2014.
Cygni Energy has already crossed the pre-revenue stage and is currently earning healthy revenue. The company posted annual revenue of $7.8 Mn during the first six months of the current financial year. The company will look to increase its revenue by four times in the next financial year, Cygni Energy’s CEO Venkat Rajaraman said to a financial deal.
The company basically offers unique technology that provides green solar energy and dc power at a very affordable cost. Since this technology is not dependent on the traditional AC to DC and DC to AC conversions, it helps in reducing the cost of production of per unit watt power.
India’s huge Solar energy market
Catering to power demands of more than a billion population is indeed a herculean task. Something that is pushing the Indian government to look towards renewable energy, with solar energy being the most viable option. The key factors that work in the favor of solar energy are fact that they are comparatively clean (less polluted) and are also very cheap.
These factors have already pushed the demand for solar energy across the country. The Indian government and also various state governments are also playing important role on this front. The government has subsidized the solar panels and is operating various schemes for solar energy companies.
According to several surveys, India’s solar energy market is one of the most attractive solar energy markets in the world. Solar consultancy Bridge recently claimed that India’s utility solar capacity increased by a staggering 72% in 2017-18 over the previous year. The country’s solar installed capacity has reportedly reached 23 GW as of 30 June 2018.