Kenya’s pioneering vehicle assembling company, Mobius Motors Kenya Ltd, has resumed operations months after announcing that it was closing down operations in the country.
The company in August 2024 announced it had appointed a liquidator to wind it up after struggling with debts.
Before its financial woes, Mobius had produced three SUV models: the Mobius I, II and III models.
However, the assembler on Tuesday, March 11, said it had been acquired by Middle East-based company, Silver Box.
Mobius Motors resumes operations
The company, in the wake of the buyout, said it has re-opened and resumed operations at its Nairobi service center, while production and manufacturing for the Mobius III model will resume fully by July.
Also Read: Mass Layoffs as CMC Motors Shuts Down in Kenya After 40 Years
Mobius, founded by British businessman Joel Jackson in 2010, also plans to launch a new model by December.
The announcement comes after the company disclosed that it had accepted a bid to sell its shares to a private undisclosed buyer.
In a notice on Thursday, August 15, then Chief Executive Officer (CEO) Nicolas Guibert announced that Mobius and the buyer were working to ensure the deal was sealed in a month.
“On 14-Aug-2024, Mobius Motors has accepted a bid for the acquisition of 100% of its shares by an undisclosed buyer. Both parties are looking to close the transaction within 30 days,” read part of the notice by Guibert.
This was after the car assembler announced that it was closing business operations in Kenya through liquidation.
The Company in a statement on August 5 said it was entering into a voluntary liquidation process aimed at winding up its activities and appointed KVSK Sastry as the liquidator in charge of overseeing the process.
“At a meeting of the Shareholders held on 5-Aug-2024, it was Resolved to place the Company under Liquidation as per Section 393(1) (b) of the Insolvency Act and to appoint KVSK Sastry as the Liquidator to wind-up the Company,” read the statement.
Also Read: Govt Intervenes After Mobius Motors Announced Plans to Close Business in Kenya
Leadership changes
Until last year, the company had received an investment of about Ksh5 billion. Its backers comprised Chandaria Industries, U.K.-based venture capital firm Playfair Capital, the U.S. International Development Finance Corporation and private investment firm PanAfrican Investment.
Meanwhile, Mobius Motors has seen a leadership overhaul which has seen John Kavila appointed Chief Operating Officer (COO).
“Mobius Motors has built an exceptional foundation, and we are eager to build on this success by focusing on expanding our market share and increasing accessibility for Kenyan consumers,” Kavila said.
On his part Guibert said, “I’m happy to hand over to John Kavila, who will pursue the development of Mobius Motors… [He] will get the visionary and financial support from Silver Box to successfully expand brand’s market share, introduce newer models, develop a network of Service stations, and make of Mobius Motors a major player on the African continent.”
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