BasiGo, the electric bus manufacturer with operations in Kenya and Rwanda has raised $42 million in new capital with $24 million in Series A equity funding along with US$17.5 million in debt facilities in a move expected to deliver 1,000 electric buses in East Africa.
The equity funding round is led by Africa50, the pan-African infrastructure investor and asset manager with co-investments from Novastar Ventures, CFAO Kenya, Mobility54, SBI Investment, Trucks VC, Moxxie Ventures, and Susquehanna Foundation. The debt facility was from British International Investment (BII) and the U.S. Development Finance Corporation (DFC). The Series A equity round unlocks a $10 million debt facility from DFC for BasiGo Kenya, as well as a new $7.5 million debt facility from BII specifically designed for scaling BasiGo’s E-bus deployment in Rwanda.
According to Jit Bhattacharya, CEO of BasiGo: “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. 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.”
BasiGo will use the funds to deliver 1,000 electric buses in East Africa within the next 3 years. 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.
In September, BasiGo and Tata Motors launched the first pilot test of Indian electric bus models using Tata Motors electric buses in Africa in Nairobi, Kenya where electric mobility firm BasiGo has had previous successful launches. The two firms are testing the 36-passenger Tata E-Buses which boast a 250 km driving range and will be operated by OMA Services and East Shuttle on key Nairobi routes.
The partnership came on the heels of the firm’s acquisition of a $10 million loan from the United States International Development Finance Corporation (DFC). This investment will accelerate the company’s production of electric buses and contribute to Kenya’s green industrialization goals. BasiGo was earlier granted a $10 million loan together Roam Electric, and Mogo Auto from the US government to support the design and development of electric motorcycles and buses as well as charging stations for motorcycles and buses throughout Kenya.
In March 2024, BasiGo secured $3 million in equity funding from CFAO Group (CFAO), owned by Toyota Tsusho Corporation in Japan to ramp up it’s electric bus manufacturing and delivery in Kenya and Rwanda and in December 2023, BasiGo secured $5 million from British International Investment (BII) through its Climate Innovation Facility to accelerate climate innovation in emerging markets. In addition to the BII funding, BasiGo received a $1.5 million grant from USAID for an Electric Bus Pilot Program 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. 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.
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.
“We are delighted to conclude Africa50’s first investment in the e-mobility space to support the greening of the public transport sector in Kenya and Rwanda. We believe BasiGo is well positioned to scale in East Africa and beyond given its world class engineering and operations teams, strong value proposition to transport operators and the caliber of strategic and financial partners assembled by the founders,” said Raza Hasnani, Managing Director and Head of Infrastructure Investments at Africa50. “As the largest investment to date by an African fund in an e-mobility company, we are proud to support innovation that drives green growth and development in the region,” added Mr. Hasnani.