Philippines

WEnergy Global

With a loan of EUR 100,000 WEnergy Global can build part of a solar hybrid power field installation in the Philippines.

  • Direct investment
  • 4 new jobs
  • 16 people reached
Issuer

€100,000

Amount

36 months

Maturity

6.00%

Annual interest
100%
Fully funded in 4 days on 10 October 2016.
+ 102 other investors

IMPORTANT NOTE: high risk product - direct loan to solar company. No local partner in between to cover risks.

Basic info

Borrower: WEnergy Global Pte. Ltd.
Currency: EURO
Amount: EUR 100K, senior debt, part I (of EUR 500K)
Maturity: 36 months, semi-annually and linearly amortizing
Collateral: None
Interest rate: 6% p.a.
1st loss capital: UK Aid backs this project! UK Aid invests EUR 20K via the 'Crowd Power' program run by Energy4Impact. This effectively means that there is 20% first-loss protection, reducing your risk for your investment. At each repayment date Crowd Power will only be repaid if the crowd is repaid in full for that specific repayment.

Direct loan

This is a direct loan to a company (rather than lending to a financial institution) and therefore it is recommandable that you are careful with the amount you will invest. 


Summary of the campaign

WEnergy Global Pte. Ltd., a company based in Singapore, is active in project development, designing, building, (partial) owning and operating renewable energy power infrastructure with clear and focused actions on the ground in South East Asian countries.

The company’s projection is to deliver a minimum of 800 MW of renewable energy systems principally in South-East Asian countries over the next 8-10 years, focusing on solar power systems, tidal and wind technologies, small hydro-power and biomass-based energy installations. Of this projection, the Company has developed a portfolio of 213MW to be implemented between 2016-2019. This 213 MW is equal to 213 million watts, which can power approximately 1 million households enabling people to perform economic activities, going beyond just a light bulb. South East Asia has over 120 million people without access to electricity.

The company has developed the Sabang Project, which is near the Puerto Princesa Underground River Area, a UNESCO World Heritage Site. The project aims at boosting social and economic development while encouraging sustainable tourism. The project is at its final stage before start of construction – expected in October/November 2016 - in Barangay Cabayugan, Palawan, The Philippines.

The project has the following features:

  • a solar PV power plant of 1.4 MW
  • a “cradle-to-cradle” certified battery of 2.3 MWh (the largest clean battery in South East Asia)
  • 1.2 MW of diesel generators
  • A 14 km smart grid aiming to supply 24/7 power to about 650 small and large off-takers in the concession area reducing carbon emissions by about 50 percent over its life-time.
  • The total savings are 21,514 tons CO2 emissions in 20 years.
  • The total carbon savings is equivalent to saving approximately 9,100,000 litres of gasoline, or 7,136 hectare of carbon sequestering forest of the size of 9,994 soccer fields!

The power plant is designed to set an example for rural or off-grid electrification using renewable energy. The architecture of the power plant has been inspired by the culture of the local indigenous communities. The power plant includes an Expo Center aiming to invite tourists (almost 85% of all the 300,000 tourist travelling to the region are Philippine nationals) to learn about renewable energy in the ‘energy mix’. This Expo Center will work closely with the City Government and several other national and international parties to enhance awareness in the area of renewable energy and energy-saving technologies.

It’s important to note that the diesel generators are still required due to the fact that solar power is only generated during daytime and people, businesses, and hospitals for example, also rely on power at night or when the sun is less strong. The solution of using solar power in the mix, allows a reduction of approx. 50% of diesel in the years to come and therefore provides much cleaner and cheaper energy to the people and businesses in the region. Over time, the project intends to increase its solar PV base and substitute fossil diesel fuel with biodiesel, once economically feasible and available, to further increase the proportion of renewable energy in the mix.

This loan will impact approx. 650 small and large off-takers. From households, to small businesses, to small, medium and large hotels and resorts, to schools and eventually medical centers. Imagine how many lives will be impacted by having access to cleaner energy due to this project, and you can contribute by lending-a-hand!

About WEnergy global 

Vision & Mission

WEnergy’s vision is to become a major quality provider of renewable energy systems solutions with fair and attractive returns on investments, inspired by the broader principles for sustainable life-styles and joyful-living, through global partnerships and engagement with stakeholders.

Their mission is to develop, plan, design, build, co-own and operate renewable energy systems for users at national, local, and individual industrial and household-scales, on-grid or off-grid.

The aim of the company is to deliver a minimum of 800 MW of new renewable energy capacity in emerging economies in the next 8 years through solar power systems, biomass energy systems, wind-power technologies and small-hydropower systems.

Management Team

Atem Ramsundersingh: CEO, with over 25 years of international experience with business and project development in emerging economies. Worked at the World Bank and UNESCO-IHE Institute for Water and Environment (Delft, NL) among others, and holds a Masters Degree in Infrastructure Engineering from Delft University of Technology.

Fabian Weber: Head of Systems Design & Engineering, with over 12 years of experience in plant design, construction & monitoring of solar PV and hybrid power systems with energy storage. Worked at SunEnergy Europe GmbH and holds a Masters degree from the Technical University of Berlin and a Masters degree from the Ecole Nationale des Points et Chaussees in Paris.

Robert de Groot: Lead Transmission & Distribution Engineer, with over 5 years of experiences and deep knowledge in electrical modeling, design and engineering of smart micro-grids with energy storage systems, related power management, O&M management planning. Worked with ENEXIS B.V. in The Netherlands and holds a Masters Degree in Electrical Engineering from Eindhoven University of Technology; expected to complete his PhD in Electrical Engineering at TU Eindhoven by end of 2016.

Agnes Valentine: Senior Energy Investment Specialist, with over 8 years of experience and knowledge in energy investment structuring & finance in high stakes environments in ASEAN. Worked with PT Jawa Power, the power supplier of the Java - Bali grid in Indonesia, PT Ferrostaal Indonesia, a full subsidiary of Ferrostaal GmbH, and Mission NewEnergy Pte Ltd in Malaysia. She holds a Masters Degree in Corporate Finance from the Southern New Hampshire University, USA. 


Anne Marie Bakker: Head of Philippines Office, based in Philippines with over 20 years of international work experience in water and environment, financial management, business development and philanthropic activities. Worked with Nedlloyd, Deutsche Börse, Clearstream International, GE Advanced Materials, Qatar Financial Centre, Tyco and the UNESCO-IHE Institute for Water in The Netherlands. She holds a BA Honours in Commercial Economics from School of Economics, Rotterdam and a Masters in Finance from EDHEC, Nice, France.

Besides the management team, there is an experienced Board of Directors with over 150 years of combined experience in international business, project development, finance and investments, renewable energy and engineering and project execution and operations. 

Previous projects: http://www.wenergyglobal.com/projectsub/solar-projects/


Awards

2014 – Erasmus Centre for Future Energy Business, RSM, Erasmus University (in Rotterdam)

2016 – Dr Albert Winsemius Award 2016 for Innovation & Sustainability (Category “Rising Stars”)

(second on the left CEO Atem Ramsundersingh)

Documentation

Company nameWEnergy Global
CEOAtem Ramsundersingh
Founded2012-01-01
LocationSabang
SectorSustainable energy projects
Turnover€740,000
Employees13

Impact of this project

  • With this investment 4 jobs are created
  • With this investment 16 people are reached

About the investment

TypeDirect investment
IssuerWEnergy
Funding target€100,000
Annual interest6.00%
Maturity36 months
Repayment periodSemiannually
CurrencyEUR
Terms and conditionsShow
Note termsDownload
Information document issuerDownload

About the risks

What are the risks of investing money?

The risk level depends on the specific project. Local partners cover the risk of currency exchange rates and defaults on Local Partner investments. They do this by maintaining financial reserves for this purpose. Aside from that, there is an option to claim their equity if needed. While these measures are intended to minimize the risk to investors, our local partners face risks of their own that could affect their ability to secure your investment. These include - bankruptcy - currency exchange rates - fraud - operational risks - political and regulatory changes - natural disasters or epidemics.

With direct investments, risks of default are not covered. As the risks are higher, so are the interest rates.

There is also some operational risk at Lendahand. An example might be that Lendahand is unable to find shareholders to finance their activities. In such a case, Lendahand will handle outstanding investments at the best of its ability. At the same time, our ability to legally address non-payment from local partners becomes understandably difficult.

How does Lendahand minimize the risks?

Every local partner must share our social mission to ensure local entrepreneurs can access affordable financing, allowing them to grow their business. Local partners must also have a 'track record'; they must have proven themselves as a reliable credit provider for SMEs.

For instance, this means a solid credit portfolio and enough buffers and equity to compensate for unexpected downturns. We also check the organizational structure of the portfolio company and how robust their (internal) procedures are. Finally, the investments must be in proportion to the total balance of that portfolio company. A healthy balance between effectuating influence and being independent is crucial. If you would like to receive more information on the financial indicators we employ, please contact us via info@lendahand.com.

When currency exchange risks become too high for a local partner, Lendahand will urge the local partner to cover these risks. In some scenario's the local partner is contractually obliged to comply with these demands.

Lendahand will always conduct due diligence when companies request funding. To provide more insights on risks, an independent party comes in to perform an analysis of direct loans. The results can be downloaded on the project detail page of the direct loan. However, this analysis serves primarily as a tool for your own opinion and conclusion. Pay attention to the fact this analysis is not investing advice.

Does Lendahand provide a guarantee?

Usually we don't. Local partners take care of the repayment, even if (some) entrepreneurs are unable to do so themselves. If the local partner is for some reason unable to repay then there is a chance of partial or full loss of your money. For this reason, Lendahand only selects financially solid partners based on strict criteria.

For most direct investments, there is no guarantee. However, currency risks are covered.

Sometimes, and only for some direct investments in Africa, our partner Sida, part of the Swedish government, will guarantee a maximum of 50%. Read here more about guarantees with Sida. Projects with Sida guarantees are indicated explicitly on the project page.

Does Lendahand have a license or exemption?

Yes. The Dutch Authority Financial Markets (AFM) has provided Hands-on B.V. (with trade name 'Lendahand') in September 2016 with an investment firm license in accordance with article 2:96 of the Financial Markets Supervision Act (Wft). Placing orders on Lendahand's website is therefore an AFM regulated activity. Lendahand also meets its minimum capital requirements of EUR 125,000 following its license as required by De Nederlandsche Bank (DNB).

Lendahand uses an exemption from an approved prospectus that is available up to EUR 5 Million per year. 

How safe are my personal details?

We adhere to strict safety requirements concerning private and payment details. All sensitive data is sent through an encrypted connection (https). Also, information is stored (encrypted) in a secured facility provided by AWS: the world’s largest hosting service. A secured connection and multi-factor authentication can only retrieve customer documents.

What happens if the local currency devaluates?

Our local partners and companies bear the exchange rate risks. We settle the investments, redemptions, and interest payments in euro.

Does Lendahand use a third foundation fund?

Lendahand works with Intersolve EGI: a Dutch financial institution specializing in payment settlement and electronic money. To be able to offer these financial services, Intersolve EGI must comply with the applicable financial legislation. Intersolve EGI is therefore supervised by De Nederlandsche Bank (DNB) and the Netherlands Authority for the Financial Markets (AFM) and owns a license to act as an Electronic Money Institution (and therefore also has a license as a Payment Institution). Your money will be deposited on a protected and secure bank account until the project you have invested in has been fully funded. Intersolve has no access to these funds. Once the project is fully funded, the money is transferred to the local partner or company in question.

What happens with my money if Lendahand goes bankrupt?

If Hands-On BV (containing the brand name Lendahand) went bankrupt, trades between Lendahand and payment service provider Intersolve EGI would cease immediately. Intersolve will then transfer the funds in your wallet to your bank account (Note: if at this time the project you have invested in has been fully funded and the money has thus been transferred to the local partner, these funds will not be transferred back to your bank account). Intersolve will then, in consultation with a trustee, handle all repayments between the investors and entrepreneurs until the final repayment of the last project has taken place.

Additionally, Lendahand is part of the investor compensation scheme (ICS). This scheme aims to compensate individuals and small businesses with trusted money and or financial instruments (such as notes or options) to a licensed bank, an investment firm, or a financial institution. In case the financial firm is unable to meet its obligations arising from claims related to the investment service (in other words, if Hands-On BV is not keeping track of the acquired notes by investors in the Wge depot correctly). The ICS guarantees an amount of up to €20.000 per individual. For more information, go to www.toezicht.dnb.nl/en/2/50-202210

Why is Intersolve EGI handling my money?

As part of the AFM license for investment firms, it is required that operational activities carried out by Lendahand (maintaining the website, contracting of local partners, legal issues, etc.) are strictly separated from financial transactions (payments made through the website). Intersolve takes care of the costs. This collaboration offers you more security since your money is placed on a protected bank account immediately after making your payment.

What happens when a local partner goes bankrupt?

When a local partner goes bankrupt, there’s a chance you’ll lose (part of) your money. Lendahand will try to recover outstanding payments, but the success rate is limited in such situations. For you, as an investor, there’s no possibility of taking action against the financial institution. Therefore, it is recommendable to choose several different projects.

About WEnergy

Total assets€1,754,216.56
Revenue (per year)€3,598,609.27
Equity / total assets76.00%
Liquidity153.00%

We have already contributed for WEnergy Global

Joop Singeling
Erik Hamelink
Frans Wittenberg
Jaap Boersema
Ron van Eijk
+ and another
102
investors