For every £4,000 invested into this campaign Sollatek will be able to source and distribute a 2kW solar system to a school, clinic or enterprise in Kenya
Your investment will help Sollatek to provide clean energy to 25 schools, clinics and enterprises in Kenya
Sollatek is 100% Kenyan owned and managed, and has been operational in East Africa for over 30 years. During this time the market for solar products has changed significantly and with their experience and local knowledge Sollatek is well positioned to help the estimated 29 million individuals in Kenya who are currently 'off-grid' gain access to clean, reliable energy. Over the last 8 years Sollatek has sold over 800,000 solar lanterns and solar home systems (SHS).
This project benefits from match funding from UK aid. UK aid are providing a total of £25,000 of match funding into this offer, meaning that for every £3 invested into this project by the crowd an additional £1 will be invested through match funding.
Key product information
Issuer: Sollatek Electronics (Kenya) Ltd
Issuing Country: Kenya
Investment target: £100,000
Minimum investment: £50
Maximum investment: No maximum
Maturity: 24 months
Expected interest rate: 5% per annum
Witholding tax rate: 15% (applicable to UK residents who do not invest within an IF ISA)
Interest payment frequency: 6 monthly
Notional repayment: 6 monthly
Financial instrument: Unsecured interest bearing bond
This is a bond issued by a single company (rather than a savings product) and therefore it is recommended that you are careful with the amount you invest.
You must read the investment memorandum (provided below) where a full statement of risks is presented.
What the project investment will enable
Sollatek has recently seen an increase in demand for some of their larger, more bespoke solar system. They are looking to raise £100,000 for installing these larger solar systems for homes, businesses, schools and clinics. At present there is a demand from a number of client types and the systems supplied will vary depending on the individual clients’ needs, but the systems will costs approximately £4,000 each to source and install and are around 2kW in size meaning that Sollatek will be able to install approximately 25 systems from this raise. The client base for these sorts of systems at present breaks down as 25% for schools, 40% for NGO (wildlife based or community run organizations), 25% for businesses and 10% residential. Some examples of the schools and enterprises who have benefited from these larger systems can be found in the attached document here.
Sollatek’s bespoke systems are typically repaid over a 6 to 24 month period after which the client owns the system outright and can continue to enjoy the benefits of the clean energy produced. All solar systems purchased and distributed by Sollatek go through rigorous in-house testing and are also subject to Kenyan Bureau of Standards (KEBS) import testing. Each system contains a patented “Smart Energy Management” system to ensure the system prioritises energy use, optimises for different weather conditions, and maximises battery life resulting in better performance of system and appliances.
Sollatek aims to raise £100,000 of investment, enabling them to purchase, distribute and install 25 units to help 25 groups in Kenya. The money raised will also be used for training of staff and allows Sollatek to offer a comprehensive warranty on all systems.
Sollatek Electronics Kenya
With money raised from this campaign Sollatek will be focusing their efforts on the “underserved” areas of Kenya, which includes the coastal counties of Lamu, Tana River, Kilifi, and Kwale. These areas are defined as "underserved" by the Kenyan Government based on their CRA (Commission Revenue Allocation) report.
Sollatek prides itself on offering quality products at an affordable price and they offer free courier delivery on their products as well as a 2 year warranty (even without proof of purchase). From their 8 regional services centres across Kenya, Tanzania, Uganda and Burundi they can offer superior after sales care with most faults fixed within 72 hours.
Social and environmental impact
Solar systems & lanterns have been shown to have a significant impact on customers' lives and the environment. To date, Sollatek has sold more than 800,000 systems & lanterns across East Africa, and has impacted the lives of around 4 million people.
The installation of solar systems to off grid communities has significant impacts that can be divided into the following categories: lifestyle, flexibility, health and safety, and economic. The below stats help show the impact that the installation of large solar systems on schools in sub-saharan Africa can have.
of children in Sub Saharan Africa attend schools without power
additional at school study hours per day with the installation of a solar system
increase in school enrolment for boys
increase in school enrolment for girls
school children impacted per solar system installed