German photovoltaics leasing firm Enpal said on Monday it was close to securing 215 million euros ($230 million) in equity, as it seeks to expand its business and meet increasing demand for residential solar power in light of rising energy prices.
The new financing round of the company, which rents out photovoltaics systems, including their technical support and maintenance services, brings the valuation of the Berlin-based firm to around 2.2 billion euros ($2.35 billion), a spokesperson for Enpal said.
The Series D funding round is led by the climate-focused private equity fund TPG Rise Climate, the company said, adding that early Tesla investor Westly Group and U.S. venture capital Activate Capital were also among the new investors.
In December, Enpal had secured 855 million euros in refinancing by Blackrock Alternatives, ING, Pricoa Private Capital, UniCredit and Infranity.
Enpal, which has 30,000 customers in Germany with new 2,000 solar energy systems installed per month, is currently not planning an initial public offering, a spokesperson for the company told Reuters.
Founded in 2017, the company made a profit for the first time last year, with revenue of more than 400 million euros.
It has been benefiting from a booming demand for solar power systems in Europe’s biggest economy, with consumers seeking alternative electricity sources to expensive fossil fuels following the drop of Russian energy supplies to Germany.
“As fossil fuel prices remain elevated and governments enact policy to accelerate the energy transition, we continue to believe in the importance of home decarbonization across Europe,” Edward Beckley, a TPG partner, said in a statement.
A survey by Germany’s solar power association (BSW) in December showed that three-quarters of homeowners in Germany would consider mounting a solar system on their roof and one in five is planning to do so in the next 12 months.
Germany’s new solar power installations are estimated to have grown by around 30% last year, according to BSW.
