Nigerian fintech startup Payhippo has undergone a strategic transformation, rebranding as Rivy and securing $4 million in pre-Series A funding to address a critical challenge facing African businesses: unreliable electricity.
Founded in 2019, the company initially provided loans to small and medium-sized enterprises (SMEs). However, after repeatedly encountering clients struggling with power issues, Rivy has repositioned itself as a clean energy financing platform.
The new funding—equally split between debt and equity—comes from climate-focused investors EchoVC and Shell’s All On. This investment will help Rivy expand its innovative marketplace model, which connects over 250 solar vendors with businesses seeking sustainable energy solutions.
“When we were an SME lender, the recurring theme was businesses’ lack of electricity,” said Dami Olawoye, Rivy’s CEO. The company now enables businesses to finance solar systems, spreading costs over time and potentially reducing monthly energy expenses.
In 2024, Rivy has already disbursed $2 million in loans, growing its loan book by an average of 15% monthly. The startup maintains an impressive non-performing loan ratio below 1%, demonstrating robust financial management.
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Rivy’s approach addresses a significant regional challenge: over 600 million people in sub-Saharan Africa lack reliable electricity. By providing accessible renewable energy financing, the company aims to drive economic growth, create employment, and reduce carbon emissions.
With plans to deepen its presence in Nigeria and explore new markets, Rivy is positioning itself as a key player in Africa’s clean energy transition.
