Kenya’s Roam secures $24m to boost EV production in Africa
TLDR
- Kenya’s Roam secures $24m to boost EV production in Africa
- The funding includes a debt commitment of up to $10 million from the U.S. International Development Finance Corporation (DFC).
- Roam will use the investment to expand the assembly of its Move bus model and meet the increasing demand for electric vehicles in Africa.
Roam, an electric vehicle (EV) startup headquartered in Kenya, has secured $24 million in a Series A funding round. This funding includes a debt commitment of up to $10 million from the U.S. International Development Finance Corporation (DFC), aimed at accelerating the production of electric motorcycles and buses.
Equator, an Africa-focused climate tech venture capital fund, led the Series A round. Several investors participated in the funding, including At One Ventures, TES Ventures, Renew Capital, The World We Want, and One Small Planet.
The investment injection arrives as Roam intensifies efforts to expand the assembly of its Move bus model, introduced last year, following the establishment of a new and larger motorcycle assembly plant. With this funding, the startup aims to significantly increase production to support the growing demand for electric vehicles across Africa.
Key Takeaways
Despite facing numerous challenges such as weak electricity grids, inadequate charging infrastructure, and high acquisition costs, the momentum toward adopting electric vehicles (EVs) in Africa persists. Despite these obstacles, EV startups on the continent have been leading the charge in facilitating this gradual transition. For instance, BasiGo has been pioneering the introduction of commercial electric mass transport buses in Nairobi, Kenya's capital, assisting operators in shifting toward more environmentally friendly transportation options. Meanwhile, Ampersand, headquartered in Rwanda, has been actively serving the burgeoning EV market, particularly in Rwanda and Kenya. The company secured $19.5 million in debt-equity funding at the end of last year to intensify the production of electric motorcycle batteries and expand its network of swapping stations in these two East African nations.
Think someone else should see this?
To invest in this opportunity and other opportunities across Africa
Download the daba finance app on your mobile through
Take action.
Download app
Start investing in Africa’s best opportunities, including stocks, bonds, startups, venture funds, and more.
Partner with us
Unlock exciting business opportunities and growth potential.
Join Daba
Become a part of our vibrant community and enjoy exclusive benefits.
Contact us
Reach out to us for inquiries, support, or collaboration.