Lendahand Ethex swings into red during “tough year”

Lendahand Ethex fell into a loss last year, in what it described as a “tough” period for its investors.

The ethical investment platform, which trades under the name Energise Africa, is a joint venture owned by European impact investing platforms Ethex and Lendahand. It funds renewable energy projects across Africa.

It posted a loss of £266,370 for the year to 31 December 2022, compared to a £64,791 profit the previous year, according to documents filed with Companies House.

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“Energise Africa’s platform volumes were down in 2022, and it was a tough year for our investee clients, who directly experienced the knock-on effects of Covid and war-induced inflation on small businesses in emerging economies,” said Lisa Ashford, chief executive of Energise Africa.

“However, despite the increase in interest rates available from alternative investment products, we have seen a positive shift in momentum for investments in our direct investment opportunities in high-impact clean energy projects and investor demand has remained robust.

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“Because of its strong cash position, the company has been able to continue investing in diversifying its investment offers, platforms, and product development, all of which are paying off with a growing and healthy pipeline.”

The company was owed £1,557,242 from other creditors as of the end of 2022.

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Ashford said that this represents grants received that are not yet recognised as income, rather than borrowings or amounts due to third parties.

“Overall, the company’s balance sheet and liquidity position were strong at the end of 2022,” she added.