Kenyan electric mobility firm Roam, previously known as Opibus, has successfully secured a significant funding boost of $24 million in a combination of debt and equity. The funds are earmarked for accelerating the company’s expansion initiatives across Africa.
Recognized for its pioneering work in designing and manufacturing locally produced electric vehicles, the mobility giant aims to offer reliable and cost-effective products tailored to the mass market in Africa. Established in 2017 and recently rebranded, Roam had previously received $7.5 million in equity and grant funding in 2021.
This latest funding round is primarily designated to enhance the production of locally crafted electric motorcycles and buses, as it endeavors to revolutionize transportation across the African continent with innovative, region-specific products.
The funding structure includes $14 million from a Series A equity funding round led by Equator Africa, with notable contributions from At One Ventures, TES Ventures, Renew Capital, The World We Want, and One Small Planet, along with various private and institutional investors. Additionally, Roam secured a substantial $10 million debt commitment from the United States Development Finance Corporation (DFC).
Read Also: Kenyan Health-Tech Startup, Ilara Health Secures $4.2M
The Roam Investment portfolio
Roam’s investment portfolio encompasses a variety of electric mobility solutions, including Roam Air (electric motorcycle), Roam Rapid (electric mass transit bus), Move (electric urban transit bus), and energy/public charging systems.
The recently acquired $24 million funding will be allocated to various initiatives, such as expanding local manufacturing capabilities in Kenya, scaling up production at the new 10,000 sqm Roam Park facility, investing in research and tooling for cost efficiencies, and optimizing local and global supply chain networks.
These investments align with its overarching goal of transforming the transport sector in Africa by introducing effective and affordable electric vehicles. The company emphasizes the use of locally sourced parts and existing large-scale manufacturing infrastructure. Notably, the mobility giant has already mitigated over 120,000 tonnes of carbon emissions, showcasing its dedication to innovative solutions for electric transport in Africa.
Rajal Upadhyaya, the CFO of Roam, highlighted the significance of the funding in achieving the company’s strategic objectives, particularly in scaling up and increasing utility to customers. Equator partner Nijhad Jamal expressed dedication to creating a future characterized by efficient, accessible, and sustainable mobility, praising Roam’s innovative electric mobility platform as a transformative force in this journey.
Read Also: Bolt and Nairaxi Gets Operation License in Abuja
Conclusion
Roam stands at the forefront of sustainable transport solutions, offering an ecosystem that includes supporting infrastructure, fleet management software, and after-sales services.
The startup tailors its solutions to meet market demands through distinct business segments, including Roam Air, Roam Transit, Roam Energy & Charging, and Roam Canopy.
These diverse business segments underscore its commitment to driving sustainability and addressing the unique demands of the African electric mobility landscape.
Follow techkudi.com for more
