Candi Solar CI

pending

Candi Solar (Candi or the “Company”) is a dedicated solar installer, financier and operator in India and South Africa, headquartered in Switzerland. Candi started operations from India in January 2018 and began South Africa operations 18 months later. Candi offers its Commercial & Industrial (C&I) customers a zero upfront and maintenance cost rooftop solar photovoltaic (PV) solution with a wide range of products to provide solar solutions as per needs of the customers. The various products/models include power purchase agreements, instalment sales, and loans, with terms ranging from 3 years to over 20 years and systems from 100KWp to over 5 MWp. As of November 2024, its project portfolio stood at 118MWp, of which 80 MWp are operational, 34 MWp are in construction and 4 MWp have been contracted. The current split of the Company’s portfolio between India and South Africa is c. 75:25 with a target split of 50:50.Candi is seeking to raise funding to meet its two-year capital expenditure (CAPEX) plan to increase its solar and battery PV portfolio by c.150MWp in India and South Africa (the Project). The Project Cost is US$100m with proposed investment being a secured debt financing package of US$65m - consisting of an (a) IFC A Loan of US$40m; (b) a US$10m subordinated loan from the Clean Technology Fund; and (c) US$5m subordinated Loan from a Canadian fund; and (d) a MCPP Loan of US$10m). The remaining US$35m will be provided through shareholders’ equity, to fund the CAPEX plan.For the proposed investment, an IFC borrower entity will be created in India and South Africa i.e. Candi Solar Asset Hld PTY Limited (“IFC SA AssetCo” or “SA Borrower”) and Candi Solar IN 3 PVT Limited (“IFC IN AssetCo” or “IN Borrower”), together referred as the Borrowers.” IFC proceeds will be used in developing new asset portfolios based on the Candi’s pipeline. Most potential projects in the immediate pipeline are less than 5 MW except for four projects in India with capacities between 5 and 15 MW. In a few cases in South Africa, Candi also may finance diesel generator sets (to support clients during power cuts), which are operated by the clients themselves. These may only account for 2% of the planned use of proceeds.