Moove, a Nigerian startup that is reported to be the world’s first mobility fintech service offering, has raised $105 million in a new Series A2 funding round. The funding is a combination of equity and debt and was led by existing investors including Speedinvest, Left Lane Capital and thelatest.ventures.
Apart from funding from existing investors, Moove also received funding for this Series A2 round from new participating investors including AfricInvest, MUFG Innovation Partners, Latitude, and Kreos Capital.
“Less than two years ago we discovered this whitespace of mobility fintech and launched Moove. Having now surpassed over 3 million trips in Moove-financed vehicles across Africa, launched in six new cities and connected thousands of ambitious mobility entrepreneurs to ride-hailing, e-logistics and instant delivery marketplaces, we’re now leading this growing category within fintech. But there are still millions of budding mobility entrepreneurs in emerging markets across the world who have limited or no access to vehicle financing and marketplaces that are facing critical supply issues. With this new fundraise, we are well-positioned and well funded to help solve this global problem. We’re delighted to have the support of leading investors across the globe who will be integral in enabling us to take our Nigerian-born model to the world,” said Ladi Delano, co-founder and co-CEO at Moove.
Expanding across Asia and Europe
With a tagline such as "flexible car ownership," it makes sense why Moove is Uber's preferred fleet partner in most of the markets that Uber operates in across Afrika. Currently, Moove has offices in Johannesburg, Cape Town, Accra, and Lagos.
According to the startup, it plans to scale its revenue-based vehicle financing model to mobility entrepreneurs across Asia, MENA and Europe over the next six months. Moove also plans to expand its partnerships and vehicle classes to include cars, trucks, bikes, three-wheelers, and buses.
“At Moove, we are working hard to create disruptive and impactful tech solutions to solve real-world problems. The Moove model that we’ve pioneered in Africa providing revenue-based vehicle financing to mobility entrepreneurs can be applied anywhere in the world, which is why we’re excited to be expanding to new emerging markets in Asia and the MENA region. As we scale, we remain committed to empowering women, leading the electrification of the mobility space and driving financial inclusion. These ideals are at the core of what we do as we continue to build a sustainable and impact-driven global business,” said Jide Odunsi, co-founder and co-CEO at Moove.
By its own account and evidenced through its partnership with Uber across Afrika, Moove has experienced an increasing demand and exponential growth across Afrika. The startup reports that its Moove-financed vehicles have completed over 3 million rides covering more than 25 million kilometers.
Launched in 2020 by Ladi Delano and Jide Odunsi, Moove is "democratizing vehicle ownership" across Afrika by providing mobility entrepreneurs access to revenue-based financing in markets with low access to credit. Using its alternative credit scoring technology, Moove provides vehicle financing to its customers to purchase brand new vehicles using a percentage of their weekly revenue.
It is also part of a new generation of Nigerian startups that are transforming financial services across Afrika. Paystack in this case stands out in recent years having been acquired by Stripe for approximately $200 million.
After raising $23 million in an oversubscribed Series A round in August 2021 and securing seed-stage funding from Future Africa in 2019, Moove is now leading the charge in the “mobility fintech” sector.
“At AfricInvest, we are focused on supporting and growing companies that we believe will go beyond their own borders and become regional champions. Ladi and Jide have proven that Moove has the potential to transform the lives of millions of people across the continent and we’re delighted to be supporting them as they expand Moove in Africa and beyond into more emerging markets. Through the AfricInvest FIVE Fund, we’re incredibly proud to be joining Ladi, Jide and all the Moovers on their exciting journey of disrupting financial services,” concluded Julius Tichelaar, Partner at AfricInvest.
— By Tefo Mohapi