Aerem Solutions Raises $15 Million for Solar Expansion

Aerem Solutions, a leader in distributed solar energy, has successfully raised $15 million (Rs 136 crore) in a pre-Series B funding round, with significant backing from SMBC Asia Rising Fund, the venture arm of Sumitomo Mitsui Banking Corporation (SMBC). Other key investors in this round included existing stakeholders such as British International Investment (BII), UTEC, Blume Ventures, Avaana Capital, Riverwalk Holdings, and SE Ventures (which is affiliated with Schneider Electric). With this latest investment, Aerem’s cumulative funding has now reached around $34.5 million.

Previous Funding and Growth

Before this recent funding round, the Mumbai-based startup had secured Rs 100 crore (approximately $11.7 million) in April of the previous year, led by UTEC. Earlier in 2023, Aerem had also raised $5 million in another funding round primarily supported by Avaana Capital.

Plans for the New Capital

The new investment will enable Aerem to bolster its presence across India, enhance its EPC and installation partner network, and promote solar energy adoption among micro, small, and medium enterprises (MSMEs) as well as residential customers. The company aims to focus on improving affordability, elevating execution quality, and enhancing the visibility of post-installation performance.

Aerem’s Operations and Market Impact

Founded in 2021, Aerem has developed a comprehensive platform for promoting distributed solar solutions in India, combining solar financing, an equipment marketplace, and a technology layer that covers system design, procurement, financing, and asset monitoring. The company’s main clientele includes MSMEs, homeowners, EPCs, and various financial institutions.

Achievements to Date

To date, Aerem has facilitated the development of over 1,200 MW of solar capacity and has financially supported more than 2,000 projects nationwide. The company collaborates with an extensive network of over 3,200 installation partners operating in 150 cities throughout India.