KarmSolar Initiates Capital Increase For Expansion Plans

Egypt’s largest private utility and solar energy company has launched a capital increase to help fund its regional and local expansion plans.

As the adviser sell-side, Synergy Consulting from the US is supporting the new round of investment. The capital injection will help existing power generation and distribution companies, and also allow new verticals such as KarmWater (solar water desalination solutions provider) and KarmCharge (electric mobility venture), to thrive.

This is in keeping with the development of Egypt’s solar energy sector. It also aligns with KarmSolar’s long-term strategy to disrupt Egypt’s utility business by creating a vertically integrated multi-utility platform that specializes in both solar power generation and urban and regional power distribution.

“Through the sale of the minority stake, we are looking for a new partner to support the next phase of our journey. We will be joining KarmSolar’s strategic shareholders EDF Renouvelables and the current shareholders KarmSolar. We are excited about the future of smart, connected utility platforms. This is a time of great opportunity.

The company currently holds 42 MW in secured and financed generation assets, 30 of which are operating — and 48 MVA contracted power capacity in the commercial, agricultural, and tourism sectors. Twelve MVA are operational.

KarmSolar and MARAKEZ signed a 22 MW power distribution contract earlier this year for D5M, the new mall it has built-in East Cairo.

It was also the first private company to be granted a permit to distribute electricity within the North Marsa Alam area by Egypt’s ERA. Eight resorts signed agreements to join the Marsa Alam solar grid.