Climate financing platform targets distributed energy projects in rural and agricultural sectors.
Two Point O Capital, a climate financing platform focused on businesses in the distributed clean energy sector, announced today that it has secured $6.3 million in seed funding. The round was led by Omnivore, with participation from Multiply Ventures, RTP Global, GrowX, Spectrum Impact, and a group of angel investors.
Two Point O aims to bridge a significant funding gap in the distributed clean energy sector by providing innovative financial solutions to MSMEs and rural enterprises. While larger-scale clean energy projects have traditionally received more attention from investors, Two Point O recognizes the substantial unmet demand for capital in distributed-level projects, estimated to exceed $10 billion annually.
With the new funding, Two Point O will enhance its technology-driven platform to source, underwrite, finance, and monitor distributed clean energy projects, such as solar rooftops, energy efficiency equipment, and wastewater treatment. The company plans to collaborate with various operating and financial partners to build a high-quality portfolio and manage it through its lifecycle. This partnership-driven approach is essential to creating a meaningful impact in the sector.
Founded earlier this year by Archit Mehrotra, Karan Bhutani, Manya Ranjan, and Shashidhar Reddy, Two Point O boasts a founding team with over 70 years of combined experience in clean energy, finance, and operations. The team has previously worked at leading firms like KKR, McKinsey, Shell, BP, Honeywell, ReNew, Sterlite Power, and GIC.
Commenting on the investment, Abhilash Sethi, Investment Director at Omnivore, said, “Two Point O’s innovative approach to climate financing has the potential to significantly accelerate India’s clean energy transition, particularly in underserved sectors like rural and agriculture. By unlocking capital for distributed energy assets in rural India, the startup empowers businesses nationwide to embrace sustainability.”
Raveen Sastry of Multiply Ventures added, “We are excited to support this talented team as they address one of India’s biggest challenges – the lack of financing for clean energy projects. Their innovative solutions can unlock huge opportunities in the distributed cleantech sector, and we look forward to partnering with them to create a cleaner, more sustainable future for India.”
The founders of Two Point O expressed their gratitude for the support received from Omnivore, Multiply, RTP Global, GrowX, Spectrum Impact, and their angel investors. They stated that the investment will accelerate their growth trajectory and attract top talent to build a best-in-class team.