BasiGo, a leading electric bus manufacturer operating in Kenya and Rwanda, has secured $42 million in new capital.
This funding includes $24 million in Series A equity and $17.5 million in debt facilities. The investment is expected to drive the delivery of 1,000 electric buses across East Africa.
The equity funding round was led by Africa50, with participation from Novastar Ventures, CFAO Kenya, Mobility54, SBI Investment, Trucks VC, Moxxie Ventures, and Susquehanna Foundation.
On the other hand, the debt facility was provided by British International Investment (BII) and the U.S. Development Finance Corporation (DFC).
BasiGo Chief Executive Officer (CEO), Jit Bhattacharya expressed enthusiasm about the investment, stating, “Since our founding in 2021, our mission has been to revolutionize public transport in Africa with clean, electric solutions. We’re thrilled to have Africa50 recognize our potential. This investment validates our business model and enables us to scale and become profitable. With BII’s support, we’re poised to deliver hundreds of modern, emission-free electric buses across East Africa.”
The EV firm noted that the funds will be used to increase manufacturing capacity at BasiGo’s assembly line in Kenya and expand its Pay-As-You-Drive offering.
Additionally, the investment will support improvements to BasiGo’s technology platforms, such as Jani, which aims to make electric buses more accessible and convenient for passengers.
In September, BasiGo and Tata Motors launched a pilot test of Tata electric buses in Nairobi. The 36-passenger Tata E-Buses have a 250 km range and will be operated by OMA Services and East Shuttle on key Nairobi routes.
This partnership followed BasiGo’s acquisition of a $10 million loan from the DFC to accelerate electric bus production and contribute to Kenya’s green industrialization goals.
The company has also received funding from the U.S. government to support the design and development of electric motorcycles and buses, as well as charging stations.
In March 2024, BasiGo secured $3 million in equity funding from CFAO Group and $5 million from BII to ramp up its electric bus manufacturing and delivery in Kenya and Rwanda.
Additionally, BasiGo received a $1.5 million grant from USAID for an Electric Bus Pilot Program in Rwanda.
The total capital raised represents one of the most significant investments in 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.
On his part, Raza Hasnani, Managing Director and Head of Infrastructure Investments at Africa50, commented, “We are delighted to support the greening of public transport in Kenya and Rwanda through our investment in BasiGo. We believe BasiGo is well-positioned to scale in East Africa and beyond.”
Steve Beck, Managing Partner at Novastar Ventures commented: “As an early investor in BasiGo, we are immensely proud of the team’s continued progress towards transforming the public bus transport sector in Africa – delivering improved experience for commuters and substantial environmental benefits.”
he further stated that, “This latest funding round is a testament to the strong investor confidence in BasiGo’s business model, value proposition and customer demand as it expands its operations and leads the way in sustainable transportation in Africa. We are thrilled with this latest milestone and look forward to our continued partnership with BasiGo through the next phase of growth and beyond.”
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.
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
Seema Dhanani, Head of Office, Kenya and Coverage Director, East Africa at BII, said: “We are delighted to support BasiGo as it expands into Rwanda. This marks a significant step in electrifying the local public transport sector, reducing pollution, and combating climate change impacts. This is in line with our priority of supporting e-mobility to foster sustainable economic growth.”