IIT-M incubated startup Cygni Energy raises $6.4 M
Cygni provides a wide range of solar solutions and plans to utilise the capital for business evolution and capacity enhancement.
Hyderabad-based Cygni Energy Private Limited, an innovative Solar-DC solutions startup has announced a fundraise of $6.4 million through a combination of equity and debt funding.
The equity funding is led by Endiya Partners, a leading early-stage venture capital firm that invests in product startups and the debt by IndusInd Bank, a leading private bank in India.
The funds will help the startup in expanding capacity, strengthening R&D capabilities, and increasing market reach.
Cygni manufactures efficient solar controllers and had raised its first seed round in 2014. It was also the first company to be recognised under the Startup India programme. The company has since boosted its leadership team and roped in Paramjit Singh as Chief Operating Officer, who had earlier served as Circle Chief Technology Officer with Airtel.
The startup has also received a grant from the Millennium Alliance (FICCI in partnership with USAID, TDB, and World Bank) for developing Solar-DC microgrid systems. The company posted annual revenues of $ 7.8 million for the financial year 2018 and is looking at a growth of 300-400 percent in the next fiscal.
The startup ensures there is no AC to DC conversion. Its IOT-enabled solar micro grid reduces energy consumption and increases the value of your air-conditioner, lights and other power consuming appliances. India today has a solar installed capacity of 23GW and will take the capacity to 200GW in five years. India has an installed capacity of 300GW of which only 15 percent is through renewable energy sources. So the opportunity is very large for Cygni.
Venkat Rajaraman, CEO, Cygni Energy says, “This round of funding will help us strengthen our product offering and enhance customer experience. It will enable us to achieve our mission of building great products that will facilitate rural development and electrification in our country and other parts of the world.”
Cygni’s mission is to “Power a Billion Dreams” by venturing into new solar solutions based on technology and innovation. The company focuses on creating more efficient power and brighter future by providing green solar energy and DC power at a reasonable cost advantage.
Currently, Cygni has deployed its products in more than 20,000 homes changing the lives of over 100,000 people across India. It provides various Solar DC and micro-grid solutions which are energy efficient and reliable offering for today’s power needs.
Sateesh Andra of Endiya Partners says, “The company’s rapid growth demonstrates a strong demand for easy, affordable access to renewable energy in our country.”
Academia has a role to play in the success of Cigni. Ashok Jhunjhunwala, Professor at IITM says, “IITM has worked closely with Cygni to develop Inverterless technology. This product was built ground up with high efficiency and affordability in mind. We are confident that this product will play a pivotal role in eliminating poverty and provide an efficient solution for developing economies.”
An incubatee of the Rural Technology Business Incubator (RTBI) at IIT Madras. Venkat Rajaraman, a Stanford graduate, developed the idea of Cygni Energy. While it provides various Direct Current (DC) solutions to its clients, the startup has a wide range of experience in managing grid connected, rooftop and decentralised PV systems. A key product of Cygni is its inverter-less solar power backup which promises 40 per cent savings in energy through intelligent use of solar, battery and energy-efficient DC equipment.