Climate focused non-banking financial company Ecofy has secured $15 million in debt funding from Mirova, as it looks to expand financing for clean energy and sustainable solutions across India.
The latest infusion follows a ₹380.5 crore ($42 million) Series B equity round co-led by British International Investment and Finnfund in March this year, as well as a ₹90 crore investment from FMO in January 2024, reflecting sustained investor interest in climate finance.
Ecofy said the fresh debt capital will be deployed towards onward lending, particularly for residential and commercial rooftop solar installations, along with electric mobility solutions, as demand for sustainable infrastructure continues to rise.
Founded in 2022 by Rajashree Nambiar and Govind Sankaranarayanan, Ecofy provides financing for a wide range of climate initiatives, including electric vehicles, energy-efficient equipment, energy storage, waste recycling, and water management. The company positions itself as a key enabler in India’s transition toward a low-carbon economy.
In just three years, Ecofy claims to have scaled rapidly, serving over 130,000 customers across 26 states and more than 500 cities. Its assets under management (AUM) have crossed ₹1,400 crore, supported by partnerships with over 100 OEMs and 23 financial institutions, along with a fully retail-focused loan book.
On the financial front, the company reported strong growth, with revenue from operations rising 4.8x to ₹93.3 crore in FY25, although losses widened by 15.6% to ₹42.28 crore during the same period, reflecting continued investments in expansion.
With a capital adequacy ratio of around 50% post fundraise, Ecofy appears well-capitalised to scale its lending operations and deepen its presence in climate financing.
The latest funding underscores the growing importance of green finance platforms in enabling adoption of renewable energy and sustainable technologies, particularly among individuals and small businesses.
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