A US investor has backed an Africa-focused business services technology company which is part-owned by TPG Growth.
The US Development Finance Corporation (DFC) has backed a $23 million funding round into Nithio, investing as a new player.
EDFI Management Company (EDFIMC), the investment arm of the Association of European Development Finance Institutions (EDFI) is also backing the round as an existing investor.
UK-based FSD Africa Investments is also backing the financing round, as an existing player.
FSD Africa Investments is the investment arm of FSD Africa, an approximate $50 million (£30 million) development finance platform set up by the UK government through the UK Aid in 2012.
DFC is injecting $10 million into Nithio, with EDFI and FSD Africa investing undisclosed amounts.
EDFIMC is structuring the deal through EDFI ElectriFI, an approximate $293 million (€250 million) electrification financing platform, which it manages.
Nithio will use the new capital for geographical expansion, with the company looking to grow its footprint, across Africa – primarily targeting Kenya, Nigeria, and Uganda.
The company is being backed based on growth prospects, with Nithio looking to reach more than 3.5 million people in the four years to 2025, according to the investors.
Worku Gachou [pictured] is managing director for Africa at DFC.
Anne-Marie Chidzero, chief investment officer at FSD Africa.
Natalia Svarinska is ElectriFI senior investment officer at EDFIMC.
FSD Africa Investments first backed the company earlier in 2021, through a $4.5 million investment.
TPG Growth first backed Nithio earlier in 2021, leading a $7.1 million investment round in the company.
The investor was joined on the deal by Kupanda Capital, Emerson Collective and Powerhouse Ventures.
Other previous investors in the company include the EDFI Management Company (EDFIMC) and US International Development Finance Corporation (DFC) which backed a debt investment round into the company, earlier in 2021.
Headquartered in Washington, DC, US, Nithio is a software company that offers an online financial information sharing platform to renewable energy companies and governments, across Africa
The platform offers an application programming interface (API) which provides consumer credit scores to companies offering pay-as-you-go renewable energy services.
Created in 2018, Nithio is headed by co-founder and chief operating officer Kate Steel and employs approximately 17 people, as of 2021.
Full deal details will be available shortly