Ecofy Finance Private Limited
Status: Proposed investmentWhy disclosure?
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In case of questions
We welcome feedback on this proposed investment opportunity for FMO. The ending of the proposed investment phase is indicated on the right side of this page. In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our prospective customer?
Ecofy is a non-banking financial institution established in India in 2022, with a mission to accelerate the country’s green transition. The company provides financing solutions for environmentally sustainable sectors across three verticals: electric vehicles (EV 2W/3W), rooftop solar, and SME lending for energy efficiency and clean supply chains. With a nationwide presence, Ecofy serves both retail customers and small to medium enterprises (SMEs). Ecofy is promoted by Eversource Capital, a leading climate impact investor and partner of FMO.
What is our funding objective?
The proposed transaction is a 6-year, USD 10 million equivalent in INR, senior secured, unlisted Non-Convertible Debenture (NCD) issuance. The proceeds will be used to expand Ecofy’s MSME, electric vehicle, and rooftop solar portfolios.
Why do we want to fund this investment?
By partnering with Ecofy, FMO can promote India’s green transition (SDG 13) by supporting Ecofy’s expansion in financing rooftop solar, electric vehicles, and energy-efficient SMEs. The green retail and SME finance market in India remains nascent but is rapidly expanding, with significant untapped potential in rooftop solar penetration and EV adoption. By supporting Ecofy, FMO contributes to reducing emissions and broadening access to affordable green finance for underserved clients, thereby also advancing SDG 10. This transaction has received both 100% Green and RI labels.
What is the Environmental and Social categorization rationale?
Ecofy is categorized as an FI-C client, given the size and purpose of the portfolio loans. The company does not have exposure to activities on FMO’s exclusion list, IFC-PS triggered transactions or high-risk sector exposures.
More investments
| Date | Total FMO financing |
|---|---|
| 1/25/2024 | INR 450.00 MLN |
| 1/25/2024 | INR 450.00 MLN |
| 12/5/2025 | INR 325.00 MLN |
| 12/5/2025 | INR 325.00 MLN |
- Website customer/investment
- https://www.ecofy.co.in/
- Region
- Asia
- Country
- India
- Sector
- Financial Institutions
- Publication date
- 12/3/2025
- Deadline for feedback
- 1/2/2026
- Total FMO financing
- USD 10.00 MLN
- Funding
- MASSIF
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - C