SteamaCo and Shyft Power Solutions merge to Ignite Africa's Digital Utility Transformation
Two of Africa’s leading energy technology companies are joining forces to help drive the digitization of Africa’s power grids and unlock more reliable, productive power.
The merger occurs alongside a new funding round led by Equator VC and with participation from Praetura Ventures and KawiSafi Ventures.
Advanced metering technology will transform Africa's electricity industry by providing real-time monitoring, accurate billing, and enhanced energy management.
London/ Houston/ Lagos – [November 4, 2024] In a landmark move to revolutionize Africa’s energy sector, SteamaCo, a UK-based leader in energy revenue management, has merged with Shyft Power Solutions, a Nigerian innovator in digital energy solutions that gained popularity recently with its community-metering solutions. The merger occurs alongside a new funding round led by Equator VC and with participation from Praetura Ventures and KawiSafi Ventures, who collectively bring together decades of experience investing in African and climate-tech ventures.
The merger unites two pioneers in advanced metering solutions, paving the way for rapid expansion into the grid-connected market and increased customer reach. SteamaCo has over a decade of experience providing advanced metering infrastructure (AMI) to energy companies across 20 African countries, transforming the energy sector with features like AI-driven loss detection for major power companies, including Aba Power. Its flagship product, Nimbus AMI, helps energy companies manage their networks, detect losses, and enhance customer service. Shyft Power Solutions entered the Nigerian market nearly eight years ago with its cloud-based distributed energy resource management system and diesel management solutions, introducing its latest metering solution, FlexView, which offers enhanced reliability and allows energy consumers to monitor usage in near real-time, eliminating the need for tokens.
The merger of SteamaCo and Shyft comes at a pivotal moment. Recent regulatory changes have opened up new investment opportunities for independent power producers (IPPs) and utilities, particularly in grid intelligence and metering. With rising energy costs, there is a growing need for reliable power. Globally, over a billion people lack adequate access to quality power. In Nigeria, approximately half of the country’s 220 million population is connected to the national grid, which currently cannot meet daily energy demand. Even those connected to the grid frequently experience blackouts, forcing them to rely on expensive and polluting alternatives. Distributed energy resources like solar home systems and mini-grids are essential solutions to address this energy access crisis. But this is changing, and the emerging SteamaCo entity is committed to playing a pivotal role in helping power companies, both on and off grid, leverage data-driven solutions to foster operational efficiency, streamlined revenue management, and mitigate downtime.
“Our vision goes beyond delivering cutting-edge technology; it’s about transforming the energy experience of power providers and their consumers. Alongside our customers, we can leapfrog inefficient grids and build more intelligent, resilient infrastructure. Power plays a critical role in economic advancement and enabling sustainable cities, so catalyzing digital transformation with our solutions is a part of our overall commitment to enabling smart cities and sustainable communities.” stated Shyft’s CEO, Ugwem Eneyo.
Tom Parkison, MD of SteamaCo, commented, “This merger greatly boosts our ability to grow in African markets. By combining our advanced metering technology with Shyft’s local expertise, we can better meet our customers' specific needs. Together, we will foster innovation, improve our services, and provide effective, customized solutions to Africa's energy issues.”
“This merger represents a pivotal moment in the evolution of energy management across Africa”, said Nijhad Jamal, Managing Partner of Equator. “We are creating a powerhouse capable of addressing critical energy challenges. This integration will enhance the sector’s ability to deliver reliable, smart metering solutions and drive significant progress in closing the energy access gap in Africa.”
The executive management teams of SteamaCo and Shyft Power Solutions will remain in place, and job creation is anticipated. This merger also represents a significant milestone for Shyft, a female-founded and led African deep-tech start-up, as, according to data from the Africa: The Big Deal database, only 13% of venture capital in Africa goes to female founders. The combined entity will result in a predominantly female African management team.
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SteamaCo is an Anglo-African technology company that empowers energy providers to deliver reliable, productive, and affordable power to communities in emerging markets. Utilizing cutting-edge IoT and interoperable smart metering solutions, SteamaCo enables remote monitoring and control of distributed energy systems, ensuring efficient and scalable energy access. With a mission to bridge the energy gap for underserved populations, SteamaCo is committed to driving sustainable development by making electricity accessible to millions.
With a presence in over 20 countries, a network of local and international partners, and a growing reputation for helping companies digitize their utility operations, SteamaCo is well-positioned for the next steps in its growth journey.
Shyft Power Solutions is an energy technology company that develops IoT (internet-of-things) hardware and integrated software to manage energy services intelligently. From novel turnkey metering solutions to patented monitoring and control solutions, Shyft is dedicated to delivering exceptional energy experiences and solving real energy challenges.
Equator is a venture capital firm with teams in Nairobi, Lagos, London, and Colorado that targets technology-enabled, early-stage ventures in energy, agriculture and mobility that are accelerating an equitable climate transition in Sub-Saharan Africa and supporting inclusive economic growth.