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EngineeringID: 762

Solar Systems

710.30USDC
2.03% of 35,000 USDC
Risk scoreBBB
Annual interest22.80 %
Term11 months
Expires
Sign up to Invest
Overview
Risk scoring
Financials
Collateral
Borrower
Equipment for four signed solar contracts

The €700k facility buys PV modules, inverters and battery storage for four signed EPC contracts worth €1.46M and covers installation working capital. Each tranche can be repaid early as its client settles.

710.30USDC
2.03% of 35,000 USDC
Risk score: BBB11 months22.80 %
Solar Systems

Zhekou Investment Limited is a Kenya-based solar EPC (engineering, procurement and construction) integrator focused on commercial and industrial (C&I) clients. The company delivers turnkey photovoltaic solutions and hybrid photovoltaic plus battery energy storage systems (PV + BESS). It manages the entire delivery cycle — from site assessment, load profiling and engineering design to bill of quantities preparation, procurement coordination, project management, commissioning and warranty support. Physical installation and regulated electrical works are performed by subcontractors licensed by the Energy and Petroleum Regulatory Authority (EPRA), while Zhekou retains contractual accountability for quality, schedule discipline, health and safety compliance and post-installation service.

  • Asset-light operating model: core engineering, procurement coordination and project governance are kept in-house, with installation capacity scaled through partners.
  • Geographic scope: operations are concentrated in Kenya’s main commercial hubs — Nairobi, Mombasa, Nakuru and Kisumu.

Leadership and management

The company is founder-led. Chief Executive Officer Celine Adhiambo Okelo, who holds 100% of the share capital, has an engineering background and experience in Kenya’s solar EPC sector. Her management approach emphasises design integrity, disciplined procurement and rigorous site-level execution control as levers for delivery reliability and risk containment.

Decision-making is currently centralised under one executive, which supports strategic consistency while also highlighting the importance of succession planning.

Sales and customer acquisition

Zhekou engages clients directly through technical qualification, relationship-driven outreach and sector focus. The business serves three B2B customer segments and tailors proposals based on load analysis and site conditions.

  • SMEs / retail: small commercial enterprises and retailers seeking on-site energy cost reduction.
  • Commercial and institutional: offices, schools and institutions requiring reliable daytime power.
  • Industrial and large commercial: manufacturers and large commercial users with high energy loads and reliability needs.

Typical project size ranges from 30 kW to 100 kW, with selective larger projects undertaken. Client acquisition relies on direct relationships, repeat engagements and referrals from the installed client base.

Product and service portfolio

The company designs and delivers grid-tied photovoltaic systems and hybrid PV + BESS solutions using tier-one components from manufacturers such as JA Solar, LONGi, JinkoSolar and Trina for modules; Huawei, SMA, Fronius, Growatt and Victron for inverters; and CATL and Gotion for battery systems. Services encompass site surveys, load profiling, engineering and design, bill of quantities preparation, budget and schedule development, procurement coordination, on-site project management, commissioning and warranty and post-warranty support.

  • Grid-tied PV systems: designed to offset daytime electricity consumption with on-site solar generation.
  • Hybrid PV + BESS systems: integrated photovoltaic and battery storage solutions that provide reliability and load management.
  • Turnkey delivery: full-cycle project management from site assessment to commissioning and warranty.

Key clients and market examples

Completed installations demonstrate expertise across diverse C&I applications. By industry, the client base comprises:

  • Plastics and polymer products manufacturing – Clients A and D (including packaging production, Nairobi).
  • Beverage and fruit processing – Client B.
  • Milling and agro-processing – Client C.

Summary

Zhekou combines a defined EPC-integrator role — contractual accountability for engineering, procurement coordination, delivery governance and warranty obligations — with an asset-light structure that limits fixed overhead and scales installation through EPRA-licensed subcontractors. Operations across four commercial hubs and three B2B segments, together with supply relationships covering tier-one module, inverter and battery manufacturers, reduce reliance on any single market or supplier. The principal constraints are concentration-related: strategic and operational control resides with the CEO, installation quality and schedule performance depend on external partners while client accountability remains with the company, and project margins are sensitive to equipment pricing, logistics variability and currency movements.

Loan Collateral

The facility is secured by a combination of existing fixed assets, newly acquired project equipment and dynamic security from contract-backed cash flows. A conservative 30% discount is applied to physical assets to estimate liquidation values. This layered structure is designed to cover the loan principal in full and to protect the lender's position.

Existing fixed asset collateral

Assets already owned by the company are pledged as security. Book values and discounted values are presented below.

Asset category

Value (EUR)

Vehicles

90,130

Installation and Testing Equipment

85,000

IT Equipment

35,000

Warehouse Equipment

30,000

Office Furniture and Fixtures

20,000

Total existing operational assets (PPE)

260,130

Discounted value (–30%)

182,091

Financed equipment collateral

Equipment acquired for the four projects is also pledged. The pledge covers the full equipment package of EUR 787,540, including the portion funded by client advances (EUR 78,754), as title to the equipment remains with the company until final settlement. Purchase value and discounted value are shown below.

Collateral component

Purchase value (EUR)

Discounted value (–30%) (EUR)

Project equipment under the four EPC contracts

787,540

551,278

Total discounted new equipment

—

551,278

Under the EPC contracts, title to the project equipment passes to the client only upon final settlement. Until final payment is received, the equipment remains the property of the company and forms part of the pledged collateral. As projects reach completion, the collateral layer is not released but replaced by incoming client payments, which constitute the primary source of debt repayment.

Dynamic security and coverage ratio

In addition to physical assets, dynamic security is provided by the cash flow from signed contracts. The four projects have a combined value of EUR 1,463,194, which exceeds the total repayment obligation (principal plus interest) of EUR 858,666.67.

The total discounted value of pledged assets — existing PPE and project equipment — is EUR 733,369, resulting in a collateral-to-loan ratio of ~104.8% (LTV 0.95), which secures the loan principal in full under conservative valuation assumptions.

Conclusion

The collateral package combines vehicles, installation and testing equipment, IT and warehouse equipment, office fixtures and newly acquired PV and BESS equipment. These assets have active secondary markets and retain stable resale values. Coupled with contract-backed cash flows that exceed the total repayment obligation, the collateral structure provides liquid coverage for the lender, and the diversification of collateral across asset categories supports a positive risk assessment for the facility.

Zhekou Investment Limited was foundedSep 3, 2018
Start of active work/productionOct 1, 2018
Min target17,500 USDC
Investors2
Interest paymentsmonthly
Principal repaymentsbullet
Total payments11 months

Details

Financial Performance

Between 2023 and 2025 the company recorded steady revenue growth and maintained positive profitability at all levels. Revenue increased from EUR 2,316,495 in 2023 to EUR 2,846,159 in 2024 (+22.9%) and EUR 3,129,593 in 2025 (+10.0%). Gross profit grew from EUR 360,058 to EUR 446,612 over the period, while net profit rose from EUR 91,869 to EUR 132,392. The gross margin declined in 2024 as equipment costs rose, then improved in 2025 as procurement efficiency increased. Net margin moved from ~4.0% in 2023 to ~4.2% in 2025.

Key financial indicators

Indicator

2023 (EUR)

2024 (EUR)

2025 (EUR)

Revenue

2,316,495

2,846,159

3,129,593

Total COGS

1,956,437

2,453,360

2,682,981

Gross Profit

360,058

392,799

446,612

Total OPEX

216,570

227,897

235,528

D&A

12,247

15,067

21,953

EBITDA

143,488

164,902

211,084

EBIT

131,241

149,835

189,131

Interest

0

0

0

Net Profit

91,869

104,885

132,392

Revenue and profitability analysis

Revenue increased in each year of the period. Growth accelerated in 2024 and slowed in 2025; however, profitability increased faster than revenue in 2025, indicating improved execution economics. Net margin declined in 2024 due to gross margin compression but recovered in 2025.

Cost and efficiency drivers

Cost of goods sold (COGS) is dominated by equipment procurement, reflecting the equipment-intensive nature of EPC projects. Installation and licensed subcontractor costs scale with project volume. Operating expenses remained controlled, with payroll, rent, transport, professional services and other categories rising modestly.

Financial resilience and sensitivities

The financial profile combines steady growth with consistent profitability. Revenue rose in each year of 2023–2025, all profitability levels remained positive, and operating expenses grew more slowly than revenue, improving operating leverage. No interest expense was recorded during the period, reflecting conservative financing and advance payment arrangements. The main sensitivities sit in the margin structure: net margins of ~4% leave a limited buffer against adverse cost movements, gross margin is exposed to equipment pricing, logistics costs and currency fluctuations, and revenue and cash inflows depend on the timing of contract execution and milestone acceptance in an equipment-intensive cost structure.

Growth Plan of Zhekou Investment Limited

The company’s growth strategy is to move upmarket within the C&I segment by increasing project scale and technical complexity, emphasising hybrid PV + BESS solutions and targeting larger industrial and commercial clients. It intends to maintain the asset-light EPC-integrator model while strengthening internal capabilities.

  • Expand the share of industrial and large commercial projects to improve margins and scale.
  • Increase the proportion of hybrid PV + battery projects relative to PV-only installations.
  • Maintain an asset-light approach by partnering with licensed subcontractors for installation and commissioning.
  • Strengthen internal engineering, project management and financial control functions to support higher project complexity.

Expansion initiatives

To implement the strategic vision, Zhekou will invest in additional human resources and organisational capacity:

Role

Change

Intended effect

Project Engineer / Project Manager

1.0 FTE

Increased delivery throughput; schedule, subcontractor and quality control; reduction of rework and margin leakage

Finance Coordinator

0.5 FTE → 1.0 FTE

Strengthened cash-cycle control (advances, milestones, reconciliations); reduced cash gaps under higher procurement volume

Lead Electrical / Design Engineer

1.0 FTE

Increased design and commissioning capacity and technical validation; reduced risk of design errors and non-compliance; support for PV + BESS expansion

Projected financial impact

Management forecasts measured growth following these initiatives. Revenue is projected to increase from EUR 3,129,593 in 2025 to EUR 3,488,271 in 2026 and EUR 4,026,805 in 2027. Gross profit and margins are expected to improve as the project mix shifts toward higher-value hybrid PV + BESS systems, with the gross margin rising from 14.3% in 2025 to 16.3% in 2026 and 17.8% in 2027. 2026 is a transition year: with interest expense incurred from September and operating expenses scaled up ahead of growth, net profit temporarily declines to EUR 123,992 (net margin 3.6%), before recovering to EUR 163,317 in 2027, with the net margin reaching ~4.1% on a larger revenue base.

Indicator

2025 (A)

2026 (A) Jan–Aug

2026 (F) Sep–Dec

2026 (F) FY

2027 (F)

Revenue, EUR

3,129,593

2,138,555

1,349,716

3,488,271

4,026,805

Gross Profit, EUR

446,612

316,506

253,292

569,798

714,758

Gross Margin

14.3%

14.8%

18.8%

16.3%

17.8%

EBIT, EUR

189,131

141,468

75,330

216,798

352,310

Net Profit, EUR

132,392

99,028

24,964

123,992

163,317

Net Margin

4.2%

4.6%

1.8%

3.6%

4.1%

Operational impact and client pipeline

The growth plan is anchored in a pipeline of four signed EPC contracts worth EUR 1,463,194 and additional letters of intent. These projects demonstrate demand from larger industrial and commercial customers and provide a revenue base for expansion.

Client

Contract value (EUR)

Client A

351,718

Client B

306,696

Client C

371,963

Client D

432,817

Total (4 projects)

1,463,194

  • Contracts cover installations for manufacturers and processors requiring on-site PV + BESS solutions.
  • Project scope includes PV modules, string inverters, battery inverters, battery energy storage, hybrid controllers and ancillary equipment.
  • Letters of intent from additional clients indicate an expanding pipeline beyond the four signed contracts.

Financing and implementation

Execution of the growth plan relies on a EUR 700,000 facility structured in four tranches. The financing bridges working-capital requirements between equipment procurement and milestone receipts. The tranches are drawn concurrently in September 2026, when procurement under all four contracts begins, and interest payments are integrated into the financial forecasts.

  • The equipment tranches are aligned with the procurement schedules of the signed contracts, complemented by a dedicated working-capital tranche; each tranche can be repaid independently upon receipt of the corresponding client settlements.
  • Client payment terms vary by contract and project scope, combining upfront advances with milestone-based settlements tied to delivery, installation and commissioning stages; advances and interim milestone inflows reduce the financed portion of procurement.
  • Cash-flow management and monitoring are intended to keep debt service aligned with project inflows.

Description of the Loan

Zhekou Investment Limited requests a EUR 700,000 facility to finance procurement and delivery of PV modules, inverters, battery energy storage systems, controllers and ancillary equipment, together with associated working capital, required to execute four signed EPC contracts worth EUR 1,463,194. The facility is dedicated to the delivery of the signed contracts and does not fund speculative initiatives.

  • Total loan amount: EUR 700,000, structured as four tranches.
  • Objective: finance equipment procurement for four confirmed contracts and bridge working-capital needs.
  • Aligned with contract values: signed contracts provide visibility on revenue generation directly linked to the financed assets.

Planned asset acquisition

Loan proceeds will be used to procure a comprehensive package of equipment across four projects. Equipment categories and aggregated cost estimates are summarised below.

Client A — equipment procurement (PV plus hybrid integration)

Item

Cost (EUR)

PV modules Mono 550W

36,036

PV string inverters 50 kW AC

48,000

PCS / battery inverter bi-directional 150 kW

27,000

BESS LFP 200 kWh incl. racks + BMS

38,000

EMS / hybrid controller (PV + BESS + Grid + DG)

15,000

Bi-directional meter + CT (zero-export)

5,000

DG synchronisation / ATS panel

8,000

Spare critical parts kit

5,000

Total equipment (net)

182,036

Client B — equipment procurement

Item

Cost (EUR)

PV modules Mono 550W

30,030

PV string inverters 50 kW AC

40,000

PCS / battery inverter bi-directional 125 kW

23,000

BESS LFP 200 kWh incl. racks + BMS

38,000

EMS / hybrid controller (PV + BESS + Grid + DG)

15,000

Bi-directional meter + CT (zero-export)

5,000

DG synchronisation / ATS panel

8,000

Total equipment (net)

159,030

Client C — equipment procurement

Item

Cost (EUR)

PV modules Mono 550W

24,024

PV string inverters 50 kW AC

32,000

PCS / battery inverter bi-directional 150 kW

27,000

BESS LFP 400 kWh incl. racks + BMS

76,000

EMS / hybrid controller (PV + BESS + Grid + DG)

15,000

Bi-directional meter + CT (zero-export)

5,000

DG synchronisation / ATS panel

8,000

Total equipment (net)

187,024

Client D — equipment procurement (250 kWp PV plus 500 kWh BESS)

Item

Cost (EUR)

PV modules Tier-1 Mono 550W

34,125

PV string inverter 50 kW AC

43,245

PCS / battery inverter bi-directional 250 kW

51,210

BESS LFP 500 kWh incl. racks + BMS

108,110

EMS / hybrid controller (PV + BESS + Grid)

17,070

Bi-directional meter + CT (industrial)

5,690

Total equipment (net)

259,450

The aggregated cost of principal equipment across the four projects, at net supplier quotations, is approximately EUR 787,540. Equipment procurement net of 10% client advances (EUR 78,754) amounts to EUR 708,786, of which EUR 590,000 is financed by Tranches 1–3, with the balance covered by the working-capital tranche, interim milestone receipts under the signed contracts and the company's own resources. Procurement is supported by validated supplier quotations for PV modules, inverters, power-conditioning systems, battery storage and control equipment. Subcontractor installation works of EUR 104,000 across the four projects are funded from the dedicated working-capital tranche and interim milestone receipts rather than from the equipment tranches. Equipment and installation works do not represent the full direct cost of the contracts: total project costs additionally include balance-of-system materials (mounting structures, cabling and protection equipment), delivery, import and logistics charges, engineering, project management, commissioning and warranty provisions, consistent with the gross margins presented in the financial forecasts.

Repayment structure and schedule

The loan is disbursed in four tranches with a 11-month term for each tranche. Interest accrues at 22.8% per annum and is payable monthly, while the principal is repaid in full at the end of each tranche. Tranches 1–3 (EUR 590,000) finance equipment procurement across the four signed contracts, while Tranche 4 (EUR 110,000) covers working capital across the four projects, including subcontractor installation works. Interest costs are included in the financial forecasts, with the facility’s total repayment schedule presented below.

The company retains the right to repay any tranche ahead of schedule, upon receipt of the corresponding client settlements, without prepayment penalties. The financial forecasts conservatively assume full 11-month utilisation of each tranche; early repayment would reduce the total interest cost below the scheduled

Justification and cash-flow impact

The structure of monthly interest payments and bullet principal is designed to preserve working capital during equipment-intensive project phases. By aligning debt service with milestone payments, the company avoids liquidity strain and ensures that loan capital is applied to revenue-generating assets. The tranche structure mirrors the four procurement packages and allows each tranche to be retired independently as the corresponding contract settles, while client advances reduce the financed volume. The repayment profile has been integrated into the financial model, providing visibility over debt service obligations and mitigating the risk of understating borrowing costs.

  • Monthly interest plus bullet principal aligns repayments with project milestones and cash inflows.
  • Per-tranche early repayment without penalties allows debt to be retired as individual contracts settle.
  • The loan supports delivery of signed contracts and is not used for unconfirmed projects or speculative expansion.

Risk scoring

Total risk scoreBBB
Debt to equity2.12
LTV95%
Credit history8 / 10
Collateral typeCompany Equipment

Rating BBB (the fourth tier) reflects a profitable, growing business with thin margins. Revenue has risen every year since 2023, every profitability line is positive, and no interest expense was recorded in 2023–2025.

  • D/E (Debt-to-equity) of 2.12 is moderate;
  • LTV of 95% means pledged assets, after a 30% discount, cover ~104.8% of the €700k facility;
  • Credit history score of 8/10.

Keep in mind:

  • net margins of ~4% leave a limited buffer against equipment prices, logistics costs and currency moves;
  • strategic and operational control sits with one founder-CEO;
  • installation quality depends on subcontractors while client accountability stays with the company;
  • cash inflows depend on milestone acceptance dates.

Constraints and sensitivities

Zhekou combines a defined EPC-integrator role with an asset-light structure that limits fixed overhead and scales installation through EPRA-licensed subcontractors. Operations across four commercial hubs and three B2B segments, with supply relationships covering tier-one module, inverter and battery manufacturers, reduce reliance on any single market or supplier.

The principal constraints are concentration-related: strategic and operational control resides with the CEO, installation quality and schedule performance depend on external partners while client accountability remains with the company, and project margins are sensitive to equipment pricing, logistics variability and currency movements. Net margins of ~4% leave a limited buffer against adverse cost movements, and revenue and cash inflows depend on the timing of contract execution and milestone acceptance in an equipment-intensive cost structure.

Financials

Revenue 2025€3.13M
Net profit 2025€132,392
Gross margin 202514.3%
Signed contracts€1.46M
€ millions
€2.32M2.32
+23%€2.85M2.85
+10%€3.13M3.13
+12%€3.49M*3.49*
+15%€4.03M*4.03*
2023202420252026F2027F

* 2026–2027 are management forecasts; 2026 includes January–August actuals and interest on this facility from September

Solar Systems

Zhekou’s growth plan does not rely on new markets. It is based on larger projects and a higher share of hybrid PV + BESS systems, backed by four signed contracts worth €1.46M.

Steady revenue growth

  • Revenue rose from €2,316,495 in 2023 to €2,846,159 in 2024 (+22.9%) and €3,129,593 in 2025 (+10.0%).
  • Management forecasts €3,488,271 in 2026 and €4,026,805 in 2027.

Consistent profitability

  • Net profit grew from €91,869 in 2023 to €132,392 in 2025.
  • Gross margin is forecast to rise from 14.3% in 2025 to 17.8% in 2027 as the mix shifts to hybrid systems.
  • 2026 is a transition year: net profit dips to €123,992 as interest starts in September.

Cost efficiency

  • Operating expenses grew more slowly than revenue, improving operating leverage.
  • Installation is scaled through partners, keeping fixed overhead low.

Market

Installed solar capacity in Africa grew from approximately 13.5 GW at the end of 2023 to 23.4 GW by the end of 2025. Kenya has 442.9 MW installed, more than half of it captive self-consumption PV, and open-access rules introduced in 2024 support corporate PPAs. High grid tariffs and unreliable supply push C&I users toward hybrid PV + BESS.

Financial performance

Between 2023 and 2025 the company recorded steady revenue growth and positive profitability at all levels. Revenue increased from EUR 2,316,495 in 2023 to EUR 2,846,159 in 2024 (+22.9%) and EUR 3,129,593 in 2025 (+10.0%). Gross profit grew from EUR 360,058 to EUR 446,612, and net profit from EUR 91,869 to EUR 132,392. The gross margin declined in 2024 as equipment costs rose, then improved in 2025 as procurement efficiency increased; net margin moved from ~4.0% in 2023 to ~4.2% in 2025.

Key financial indicators, EUR

Indicator202320242025
Revenue2,316,4952,846,1593,129,593
Total COGS1,956,4372,453,3602,682,981
Gross profit360,058392,799446,612
Total OPEX216,570227,897235,528
D&A12,24715,06721,953
EBITDA143,488164,902211,084
EBIT131,241149,835189,131
Interest000
Net profit91,869104,885132,392

Revenue increased in each year. Growth accelerated in 2024 and slowed in 2025, but profitability rose faster than revenue in 2025, indicating improved execution economics; net margin dipped in 2024 on gross margin compression and recovered in 2025.

Cost of goods sold is dominated by equipment procurement, reflecting the equipment-intensive nature of EPC projects, and installation and licensed subcontractor costs scale with project volume. Operating expenses — payroll, rent, transport, professional services and other categories — rose modestly and more slowly than revenue, improving operating leverage. No interest expense was recorded during the period, reflecting conservative financing and advance payment arrangements.

Growth plan

The growth strategy is to move upmarket within the C&I segment by increasing project scale and technical complexity, emphasising hybrid PV + BESS solutions and targeting larger industrial and commercial clients, while keeping the asset-light EPC-integrator model.

  • Expand the share of industrial and large commercial projects to improve margins and scale.
  • Increase the proportion of hybrid PV + battery projects relative to PV-only installations.
  • Keep partnering with licensed subcontractors for installation and commissioning.
  • Strengthen internal engineering, project management and financial control to support higher project complexity.

Expansion initiatives

RoleChangeIntended effect
Project Engineer / Project Manager1.0 FTEIncreased delivery throughput; schedule, subcontractor and quality control; reduction of rework and margin leakage
Finance Coordinator0.5 FTE → 1.0 FTEStrengthened cash-cycle control (advances, milestones, reconciliations); reduced cash gaps under higher procurement volume
Lead Electrical / Design Engineer1.0 FTEIncreased design and commissioning capacity and technical validation; reduced risk of design errors and non-compliance; support for PV + BESS expansion

Projected financial impact

Revenue is projected to rise from EUR 3,129,593 in 2025 to EUR 3,488,271 in 2026 and EUR 4,026,805 in 2027, with gross margin rising from 14.3% to 16.3% and 17.8% as the mix shifts toward higher-value hybrid systems. 2026 is a transition year: with interest expense from September and operating expenses scaled ahead of growth, net profit temporarily declines to EUR 123,992 (net margin 3.6%) before recovering to EUR 163,317 in 2027 (~4.1%).

Indicator2025 (A)2026 (A) Jan–Aug2026 (F) Sep–Dec2026 (F) FY2027 (F)
Revenue, EUR3,129,5932,138,5551,349,7163,488,2714,026,805
Gross profit, EUR446,612316,506253,292569,798714,758
Gross margin14.3%14.8%18.8%16.3%17.8%
EBIT, EUR189,131141,46875,330216,798352,310
Net profit, EUR132,39299,02824,964123,992163,317
Net margin4.2%4.6%1.8%3.6%4.1%

Client pipeline

The growth plan is anchored in four signed EPC contracts worth EUR 1,463,194 plus additional letters of intent, showing demand from larger industrial and commercial customers.

ClientContract value, EUR
Client A351,718
Client B306,696
Client C371,963
Client D432,817
Total (4 projects)1,463,194
  • Contracts cover installations for manufacturers and processors requiring on-site PV + BESS solutions.
  • Project scope includes PV modules, string inverters, battery inverters, battery energy storage, hybrid controllers and ancillary equipment.
  • Letters of intent from additional clients indicate an expanding pipeline beyond the four signed contracts.

Market assessment

The African solar PV market is expanding from a low installed base: total installed capacity was approximately 13.5 GW at the end of 2023 and approximately 23.4 GW by the end of 2025. Growth is driven by structural electricity supply constraints and high tariffs, industrial expansion, policy support for renewables and demand for decentralised generation, with C&I customers increasingly adopting hybrid PV + BESS for reliability.

Kenya

Kenya has a formalised regulatory environment under EPRA. Total installed solar capacity stands at 442.9 MW — 229.2 MW of captive self-consumption PV, 210.3 MW of grid-connected PV and 3.4 MW of off-grid PV — so captive projects represent more than half of national capacity.

  • Open-access regulations introduced in 2024 broaden market participation and support corporate PPAs (power-purchase agreements).
  • EPRA licensing requirements ensure that electrical works are performed by qualified subcontractors.
  • The market is fragmented, with EPC-focused contractors and asset-backed developers operating in parallel.
  • Import dependency for PV and BESS equipment exposes the market to foreign exchange and logistics risks.

Demand across the three C&I customer groups is driven by high grid tariffs, unreliable grid supply and the opportunity to stabilise operating costs with hybrid PV + BESS systems.

Competition and supply chain

The market is competitive and fragmented, with EPC integrators and IPP/PPA (independent power producer / power-purchase agreement) providers competing for projects. Zhekou relies on tier-one manufacturers and local distributors such as PNS Solar Solutions and Taico Power Kenya, which import equipment and act as importer of record. Competition from financed PPA solutions may affect conversion and pricing power among industrial clients.

Company’s market position

Zhekou operates in the mid-scale captive solar segment as an asset-light EPC integrator, providing engineering and project management while using licensed partners for installation and commissioning. Completed projects span manufacturing, food processing, plastics and milling; the company focuses on direct relationships and repeat clients rather than mass marketing, and asset-light execution lets it scale without large investments in equipment or labour.

Challenges

  • High reliance on imported equipment exposes projects to foreign exchange and logistics risks.
  • Competitive pressure from developers offering financed PPAs.
  • New regulations may affect licensing requirements and project timelines.
  • Customer capital expenditure cycles and payment behaviour affect cash-flow timing.

Collateral breakdown

Project equipment under 4 EPC contracts · €787.5K
Project equipment under 4 EPC contracts€787,540
Vehicles€90,130
Installation and testing equipment€85,000
IT equipment€35,000
Warehouse equipment€30,000
Office furniture and fixtures€20,000
Total pledged€1,047,670Book and purchase values; €733,369 after a 30% discount, plus four signed contracts worth €1.46M.

The €700k facility is secured in three layers.

1. Existing fixed assets — €260,130

  • Vehicles, installation and testing equipment, IT and warehouse equipment, office fixtures.
  • €182,091 after the 30% discount.

2. Project equipment — €787,540

  • PV modules, inverters and batteries bought for the four contracts.
  • Title passes to the client only on final settlement, so until then the equipment stays in the pledge.
  • €551,278 after the 30% discount.

3. Signed contracts — €1.46M

  • Client payments are the primary source of repayment and replace the equipment layer as projects complete.
  • They exceed the total repayment obligation of €858,666.67.

After the discount, pledged assets are worth €733,369 — ~104.8% of the loan principal.

Loan collateral

The facility is secured by existing fixed assets, newly acquired project equipment and dynamic security from contract-backed cash flows. A conservative 30% discount is applied to physical assets to estimate liquidation values.

Existing fixed assets, EUR

Asset categoryValue
Vehicles90,130
Installation and testing equipment85,000
IT equipment35,000
Warehouse equipment30,000
Office furniture and fixtures20,000
Total existing operational assets (PPE)260,130
Discounted value (–30%)182,091

Financed equipment, EUR

The pledge covers the full equipment package of EUR 787,540 for the four projects, including the portion funded by client advances (EUR 78,754), as title remains with the company until final settlement.

Collateral componentPurchase valueDiscounted value (–30%)
Project equipment under the four EPC contracts787,540551,278

Under the EPC contracts, title to the equipment passes to the client only upon final settlement; until then it remains the company’s property and part of the pledge. As projects complete, the collateral is not released but replaced by incoming client payments, which are the primary source of repayment.

Dynamic security and coverage

The four signed contracts total EUR 1,463,194, exceeding the total repayment obligation (principal plus interest) of EUR 858,666.67. The discounted value of pledged assets — existing PPE and project equipment — is EUR 733,369, a collateral-to-loan ratio of ~104.8% (LTV 0.95), which secures the principal in full under conservative assumptions. These assets have active secondary markets and retain stable resale values.

Description of the loan

Zhekou requests a EUR 700,000 facility to finance procurement and delivery of PV modules, inverters, battery energy storage systems, controllers and ancillary equipment, together with associated working capital, to execute four signed EPC contracts worth EUR 1,463,194. The facility is dedicated to the signed contracts and does not fund speculative initiatives.

Repayment structure

The loan is disbursed in four tranches with an 11-month term each, drawn concurrently in September 2026 when procurement under all four contracts begins. Interest accrues at 22.8% per annum and is paid monthly; principal is repaid in full at the end of each tranche. Tranches 1–3 (EUR 590,000) finance equipment procurement across the four contracts, and Tranche 4 (EUR 110,000) covers working capital, including subcontractor installation works. The company may repay any tranche early, upon receipt of the corresponding client settlements, without prepayment penalties; the forecasts conservatively assume full 11-month utilisation.

  • Monthly interest plus bullet principal aligns repayments with project milestones and cash inflows, preserving working capital during equipment-intensive phases.
  • The tranche structure mirrors the four procurement packages, and client advances reduce the financed volume.
  • Client payment terms combine upfront advances with milestone settlements tied to delivery, installation and commissioning.

Use of proceeds

The aggregated cost of principal equipment across the four projects, at net supplier quotations, is approximately EUR 787,540. Net of 10% client advances (EUR 78,754) procurement amounts to EUR 708,786, of which EUR 590,000 is financed by Tranches 1–3; the balance is covered by the working-capital tranche, interim milestone receipts and the company’s own resources. Subcontractor installation works of EUR 104,000 are funded from the working-capital tranche and milestone receipts. Total project costs also include balance-of-system materials, delivery, import and logistics, engineering, project management, commissioning and warranty provisions.

Client A — PV plus hybrid integration, EUR

ItemCost
PV modules Mono 550W36,036
PV string inverters 50 kW AC48,000
PCS / battery inverter bi-directional 150 kW27,000
BESS LFP 200 kWh incl. racks + BMS38,000
EMS / hybrid controller (PV + BESS + Grid + DG)15,000
Bi-directional meter + CT (zero-export)5,000
DG synchronisation / ATS panel8,000
Spare critical parts kit5,000
Total equipment (net)182,036

Client B, EUR

ItemCost
PV modules Mono 550W30,030
PV string inverters 50 kW AC40,000
PCS / battery inverter bi-directional 125 kW23,000
BESS LFP 200 kWh incl. racks + BMS38,000
EMS / hybrid controller (PV + BESS + Grid + DG)15,000
Bi-directional meter + CT (zero-export)5,000
DG synchronisation / ATS panel8,000
Total equipment (net)159,030

Client C, EUR

ItemCost
PV modules Mono 550W24,024
PV string inverters 50 kW AC32,000
PCS / battery inverter bi-directional 150 kW27,000
BESS LFP 400 kWh incl. racks + BMS76,000
EMS / hybrid controller (PV + BESS + Grid + DG)15,000
Bi-directional meter + CT (zero-export)5,000
DG synchronisation / ATS panel8,000
Total equipment (net)187,024

Client D — 250 kWp PV plus 500 kWh BESS, EUR

ItemCost
PV modules Tier-1 Mono 550W34,125
PV string inverter 50 kW AC43,245
PCS / battery inverter bi-directional 250 kW51,210
BESS LFP 500 kWh incl. racks + BMS108,110
EMS / hybrid controller (PV + BESS + Grid)17,070
Bi-directional meter + CT (industrial)5,690
Total equipment (net)259,450

How the loan pays out

Your 012345678901234567890,012345678901234567890012345678901234567890012345678901234567890 USDC investment behaves like a 11-month bond: monthly interest payments, then principal back at month 012345678901234567890.

DateInterestPrincipalTotal
Net profit+012345678901234567890.012345678901234567890012345678901234567890 USDC
Total return012345678901234567890.012345678901234567890012345678901234567890 USDC

Borrower

Zhekou Investment LimitedNairobi, Kenya · founded 2018
Zhekou Investment Limited

Zhekou Investment Limited is a Kenya-based solar EPC (engineering, procurement and construction) integrator focused on commercial and industrial (C&I) clients. The company delivers turnkey photovoltaic solutions and hybrid photovoltaic plus battery energy storage systems (PV + BESS). It manages the entire delivery cycle — from site assessment, load profiling and engineering design to bill of quantities preparation, procurement coordination, project management, commissioning and warranty support. Physical installation and regulated electrical works are performed by subcontractors licensed by the Energy and Petroleum Regulatory Authority (EPRA), while Zhekou retains contractual accountability for quality, schedule discipline, health and safety compliance and post-installation service.

Reg No: PVT-3QUG6G7zhekouenergy.com

About the company

Zhekou Investment Limited is a Kenya-based solar EPC (engineering, procurement and construction) integrator focused on commercial and industrial (C&I) clients. It delivers turnkey photovoltaic solutions and hybrid photovoltaic plus battery energy storage systems (PV + BESS), managing the entire delivery cycle — site assessment, load profiling and engineering design, bill of quantities preparation, procurement coordination, project management, commissioning and warranty support. Physical installation and regulated electrical works are performed by subcontractors licensed by the Energy and Petroleum Regulatory Authority (EPRA), while Zhekou retains contractual accountability for quality, schedule discipline, health and safety compliance and post-installation service.

  • Asset-light operating model: core engineering, procurement coordination and project governance are kept in-house, with installation capacity scaled through partners.
  • Geographic scope: operations are concentrated in Kenya’s main commercial hubs — Nairobi, Mombasa, Nakuru and Kisumu.

Corporate identifiers: registration number PVT-3QUG6G7; established 3 September 2018; registered address Argho Building, Tom Mboya Street, Nairobi, Kenya.

Leadership and management

The company is founder-led. Chief Executive Officer Celine Adhiambo Okelo, who holds 100% of the share capital, has an engineering background and experience in Kenya’s solar EPC sector. Her management approach emphasises design integrity, disciplined procurement and rigorous site-level execution control as levers for delivery reliability and risk containment. Decision-making is centralised under one executive, which supports strategic consistency while also highlighting the importance of succession planning.

Products, services and clients

Zhekou designs and delivers grid-tied PV systems and hybrid PV + BESS solutions using tier-one components: JA Solar, LONGi, JinkoSolar and Trina modules; Huawei, SMA, Fronius, Growatt and Victron inverters; and CATL and Gotion battery systems. Services cover site surveys, load profiling, engineering and design, bill of quantities, budget and schedule development, procurement coordination, on-site project management, commissioning and warranty and post-warranty support.

  • Grid-tied PV systems — offset daytime electricity consumption with on-site solar generation.
  • Hybrid PV + BESS systems — integrated photovoltaic and battery storage for reliability and load management.
  • Turnkey delivery — full-cycle project management from site assessment to commissioning and warranty.

The company engages clients directly through technical qualification, relationship-driven outreach and sector focus, tailoring proposals to load analysis and site conditions. It serves three B2B segments: SMEs and retail seeking on-site energy cost reduction; commercial and institutional clients — offices, schools and institutions — requiring reliable daytime power; and industrial and large commercial users with high energy loads and reliability needs. Typical project size is 30 kW to 100 kW, with selective larger projects. Client acquisition relies on direct relationships, repeat engagements and referrals from the installed base.

Completed installations span plastics and polymer products manufacturing (Clients A and D, including packaging production in Nairobi), beverage and fruit processing (Client B) and milling and agro-processing (Client C).

Annual interest
22.80 %
Term
11 months
Net profit
Voucher
+0 USDC
Total return0.00012345678901234567890.012345678901234567890012345678901234567890 USDC
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