Solar Tech Startup Loom Solar Raises $2 Mn Funding from SIMA Funds, USA

Emerging start-up in solar tech Loom Solar has raised $2 Million funding from US-based Social Investment Managers and Advisors (SIMA) under the Energy Access Relief Fund (EARF) supported by the World Bank, DFC, BII, FMO, IFC and others.

The start-up that looks into the manufacturing of bi-facial solar panels and lithium battery, is headquartered in Faridabad, Haryana. Besides India, the four years old company exports its products to 10 countries largely in North America and Europe, under the Government of India’s ‘Make in India’ initiative.

The funding will support Loom Solar to achieve its goal of powering millions of homes in India in the medium term through sustainable solar energy. Loom Solar maintains that it has been developing its capacity, continuously innovating, and building new product portfolio. The firm is also focused on building a stronger brand and a deep distribution network across India.

Over 50,000 homes across India today are powered by Loom Solar, and the start-up is developing an eco-system for residential customers with the help of technology, product innovation, service and easy and quick finance. Loom Solar adds that is encouraging new Indian homes and the existing ones to access energy through solar, which is sustainable.

Amod Anand, Director, Loom Solar said, “Loom Solar’s goal is to bring superior quality, clean energy and expand sustainable energy access in the country. As we are significantly scaling our portfolio to provide energy access and provide green energy solutions to communities propelling economic growth, reducing carbon emissions, and improving environmental sustainability, the funding support from Social Investment Managers and Advisors (SIMA) has come timely. Loom Solar has successfully delivered clean power to thousands of customers across residential, commercial, and industrial sectors in India, and we look forward to working in the same direction by bringing more efficient & green energy solutions in times to come.”

Arivazhagan G D, Partner at SIMA, said,“Loom Solar is one of the fast-growing companies in India in the solar manufacturing space clearly distinguishing itself through product, processes, and services. Loom Solar has a clear focus to stay ahead of the curve as it is constantly innovating and providing solar solutions that offer higher efficiency. Started with a small equity base, Loom Solar is driven by budding entrepreneurs, who have been crystallizing opportunities innovatively and leaving no stones unturned including early venturing into the ecommerce space. Balancing growth with profitability, Loom Solar has been treading in a sweet spot. As Loom Solar has been overcoming the disruptions caused by COVID in the supply chain and is steering through the recent changes in import duty that slowed down the market briefly, we believe that EARF support from SIMA can make Loom Solar be more resilient to achieve its energy access goals.”

SIMA’s EARF aims to maintain the sector’s progress in bringing clean energy access to all and has so far approved support to 112 companies in 22 countries. EARF has been supporting energy access firms that have made remarkable progress in mitigating climate change and reaching people, businesses and social institutions with low carbon energy, especially those which are operating out of sub-Saharan Africa and many parts of Asia.