A Kenyan-based startup has secured a total of $42 Million (Ksh5.4 billion) in funding for the scale up of public transport electrification in Sub-Saharan Africa. In a statement on October 23, BasiGo, a leading provider of electric bus solutions in the region said the total capital raised by the company is comprised of a series of equity funding.
The funding round consists of US$24 million in Series A equity funding along with US$17.5 million in debt facilities from British International Investment (BII) and the U.S. Development Finance Corporation (DFC), according to the company.
In addition, the equity funding round is led by Africa50, the pan-African infrastructure investor and asset manager, marking the most significant investment from an African fund in an e-mobility company.
The equity round also features co-investments from Novastar Ventures, CFAO Kenya, Mobility54, SBI Investment, Trucks VC, Moxxie Ventures, and Susquehanna Foundation.
BasiGo said that the Series A equity round unlocks a $10 million debt facility from DFC for the Kenyan branch, as well as a new $7.5 million debt facility from BII specifically designed for scaling BasiGo’s E-bus deployment in Rwanda.
BasiGo CEO welcomes recognition
Jit Bhattacharya, CEO of BasiGo while making the announcement thanked Africa50 for recognizing the start-up’s potential.
“Since we founded BasiGo in 2021, our mission has been to create the future of clean, electric public transport in Africa. We are thrilled to have Africa50, a premier African infrastructure investment fund, recognize the potential of our mission. The combined equity and debt investment into BasiGo validates our business model and enables BasiGo to focus on scale and profitability.”
He added, “With BII’s support to expand our E-bus model in Rwanda, we are ready to deliver hundreds of modern, emissions-free electric buses across East Africa.”
Also Read: Details of ksh5.1 Billion Govt Fund Aimed to Support Select Businesses
The capital will be injected into BasiGo’s objective of delivering 1,000 electric buses in East Africa in the next 3 years, while also enabling the company to expand to new vehicle types and new markets.
In Kenya, the funds will specifically be used to increase manufacturing capacity at BasiGo’s dedicated E-Bus assembly line located at Kenya Vehicle Manufacturers.
The investment will also support the expansion of BasiGo’s Pay-As-You-Drive offering to new vehicle types, and to improve BasiGo’s technology platforms such as Jani which make electric buses more accessible and convenient for passengers.
Expansion in Rwanda
In December 2023, BasiGo expanded its operations to Rwanda where it is currently operating 6 pilot electric buses on routes inside Kigali as well as inter-city routes serving nearby towns.
Also Read: Kenyan Startup Company Wins Prestigious Global Award
The newest debt facility from BII will be put towards launching commercial deliveries of E-Buses in Rwanda, where BasiGo has already received over 300 reservations from bus operators.
According to the start-up, the total capital raised represents one of the most significant investments into Electric Mobility in Africa. The investment accelerates BasiGo’s growth trajectory and strengthens its position as a leader in Sub-Saharan Africa’s evolving EV landscape.
BasiGo is an e-mobility company that is bringing the future of clean, electric public transport to sub-Saharan Africa.
Headquartered in Nairobi, Kenya, the company offers state-of-the-art electric buses and charging and maintenance services for public service bus operators.
Also, the firm makes electric buses affordable to operators through an innovative financing model called “Pay-As-You-Drive.” In 2022, BasiGo became the first company to introduce electric buses into passenger operations in Kenya.
Follow our WhatsApp Channel and join our WhatsApp Group for real-time news updates.
