Kenya-based electric mobility company ROAM has successfully completed a Series A funding round totalling $24 million in equity and debt to expand local production and further electrify mobility across Africa.
In a significant stride towards a sustainable future, Roam, a trailblazer in electric mobility based in Kenya, has successfully closed its Series A funding round. The company has secured a substantial $24 million in equity and debt, marking a new chapter in Africa’s journey towards green transportation.
The funding round saw participation from a diverse group of investors. Leading the charge was Equator Africa, a firm deeply committed to fostering efficient, accessible, and sustainable mobility. Other contributors included At One Ventures, TES Ventures, Renew Capital, The World We Want, and One Small Planet, among other private and institutional investors. In a noteworthy move, the US International Development Finance Corporation (DFC) has pledged to provide Roam with a debt facility of up to $10 million.
Roam Mobility Kenya
Roam is not just another company in the electric vehicle (EV) sector. It stands out with its unique focus on designing, developing, and deploying electric motorcycles and buses specifically built for the African market. This targeted approach allows Roam to address the unique needs and conditions of the continent, thereby ensuring a higher adoption rate and greater impact.
Nijhad Jamal, a partner at Equator, expressed his firm’s commitment to building a future powered by efficient, accessible, and sustainable mobility. He lauded Roam’s innovative electric mobility platform as being at the forefront of this transformation. “We are proud to provide catalytic funding that will enable Roam to build a cleaner, more equitable future for African cities,” Jamal stated.
The funds raised in this round will be channelled towards various strategic initiatives. A significant portion will be invested in expanding local manufacturing capabilities in Kenya. This includes scaling up production at the new 10,000 sqm Roam Park facility.
The company also plans to invest in research and tooling to achieve cost efficiencies. Another key area of focus will be streamlining local and global supply chain networks.
Kenyan Technology Ecosystem
In the broader Kenyan technology ecosystem, there have been several significant developments. The entry of Elon Musk’s satellite internet firm Starlink into the Kenyan market has set the stage for intensified competition with local players. The Office of the Data Protection Commissioner (ODPC) has also intensified aggression to close in on data breaches through the tightening of pre-existing data protection laws. These developments, along with Roam’s recent funding, highlight the dynamic and rapidly evolving nature of the Kenyan technology ecosystem.
Kenya is making significant strides in the mobility ecosystem, particularly in electric vehicles (EVs). Here are some of the latest developments:
- Spiro and Petrocity Partnership: Spiro, Africa’s largest electric vehicle (EV) player, has announced a partnership with Petrocity, one of Kenya’s best-known fuel station operators. This collaboration aims to enhance Spiro’s innovative automatic smart battery swap station network by facilitating installation across Petrocity’s strategic locations throughout Kenya.
- E-Mobility Transformation: Kenya is transforming its transportation sector by providing an electric alternative to high-polluting vehicles such as motorbike taxis. To accelerate the shift to e-mobility, emerging economies must use a comprehensive strategy to confront barriers to electric vehicle adoption. Kenya’s approach can serve as a model for a systematic transition.
- Scaling E-Mobility: Siemens Stiftung is committed to supporting the development of local e-mobility solutions in Kenya. The aim is to strengthen local e-mobility ecosystems through research, coaching, and networking.
- Charging Stations: Kenya is ramping up investment for new e-mobility charging stations to support a transition to sustainable transport.
- Quiet E-Mobility Revolution: The Kenyan e-mobility start-up aims to achieve zero emissions on the distance covered as it provides affordable, connected electric motorcycles to riders in Nairobi.
These developments, along with Roam’s recent funding, highlight the dynamic and rapidly evolving nature of the Kenyan technology and mobility ecosystem. As the country continues to innovate and invest in sustainable solutions, it sets the stage for a greener and more connected future.
