Hohm Energy, a South African startup that provides certified solar installers, product suppliers, and embedded solar finance to assist homes and businesses looking to go solar, has raised US$8 million in seed funding to support its growth.
E3 Capital and 4DX Ventures led the seed funding round, which also included Breega, TO.org, E4E Africa, Tekton Ventures, Sunu Capital, Musha Ventures, and Climate Capital Ventures.
Hohm Energy was founded in 2021 by Tim Ohlsen and Emir Gluhbegovic. Its patented software platform and marketplace facilitate communication amongst all parties involved in the solar energy value chain.
The company uses technology to address issues facing the rooftop solar market in South Africa. It does this by improving accessibility for buyers, reducing delays, installation errors, compliance concerns, and financing barriers, and expediting the design, scheduling, and procurement process for installers.
With the help of its solar proposal engine, the business has already created over 17,000 unique solar rooftop designs valued at US$190 million, leading to the origination of over US$90 million in financing applications for its retail banking partners.
The bulk of South Africa’s retail financial institutions, including Investec, Nedbank, MFC, FNB, Wesbank, and Capitec, have partnered with the company, so users can access the platform’s finance and credit rating functions to obtain structured financing from these organizations.
“The energy system in South Africa is broken. Climate-tech is key to solving the current challenges through the provision of a scalable and sustainable alternative. Our robust software platform and fintech marketplace, which enables us to offer value to all stakeholders, is pivotal in enhancing the efficiency of rooftop solar installations and ultimately mitigating the severity of load-shedding being experienced. We are honored to be collaborating with renowned global investors who share our passion and vision and are helping us achieve our mission on a larger scale,” said Tim Ohlsen, CEO of Hohm Energy.
In addition to the investment, the business will introduce the Hohm School initiative, which aims to educate and equip regional solar installers nationwide via the Hohm Energy Standard for Solar Systems Installations (HESSSI).
With the funding, Hohm Energy plans to invest in its innovative climate fintech strategy and boost tech, product innovation, and skill development for solar installers to make rooftop solar more widely available, reliable, and reasonably priced.
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