The giant Electricité de France (EDF) has just taken a 23% stake in Bboxx Kenya, the subsidiary of solar home systems provider Bboxx. This investment will bring electricity to 2 million Kenyans living in rural areas by 2025.
Bboxx is strengthening its partnership with Electricité de France (EDF) in Africa. The supplier of solar home systems is opening the capital of its Kenyan subsidiary to EDF, which is increasingly investing in decentralised electricity access systems in Africa south of the Sahara. The French electricity company now owns 23% of Bboxx Kenya’s shares. According to its parent company, based in London (UK), EDF’s investment will enable it to extend its services in rural Kenya.
Kenya is Bboxx’s largest market in Africa with, to date, 500,000 people having access to electricity. The company manufactures, finances and distributes solar systems for households and small and medium-sized enterprises (SMEs) in rural areas. Bboxx Kenya relies heavily on the pay-as-you-go (pay-per-use) business model. This has become more democratic in rural areas in recent years through mobile banking.
Electrifying 2 million people by 2025
With EDF’s investment in its Kenyan subsidiary, Bboxx plans to provide access to electricity to 2 million people over the next four years. To achieve this goal, EDF is also expected to bring its commercial resources and experience as a developer of off-grid solutions in African countries. “The Kenyan market represents a major growth opportunity for Bboxx and its partners. Throughout the pandemic (Covid-19), Bboxx’s business model has shown resilience, with strategies to accelerate the opening of shops across the country to meet growing consumer demand,” says Bboxx.
The new transaction also builds on the existing partnership between EDF and Bboxx. The two companies are already working together in Togo on rural household electrification. Recently, Bboxx and EDF have extended this collaboration to the supply of solar-powered irrigation systems with the help of the Kenyan company SunCulture. “We are proud to create synergies between our different partners in Kenya to support the country’s growth. Our expansion in the Kenyan market is part of our CAP 2030 strategic objective to triple our international activities,” explains Valérie Levkov, EDF’s Director for Africa, Middle East and Eastern Mediterranean.
Jean Marie Takouleu