A brand new one-year $105 million Series A2 fundraising round was secured by company Moove, the African technology company, which offers to finance vehicles to the drivers of ride-hailing services such as Uber and other gig-sharing networks.
As the primary investors from the Series A funding, Speedinvest, Left Lane Capital and the newest ventures–of which the first two are still involved with $65 million of equity and 40 million of debt. Participants included new investors AfricInvest MUFG Innovation Partners Latitude and Kreos Capital.
African-based Moove Raised $105 Million in Series A2 of Funding
The news comes a month after mobile fintech firm Moove signed a deal worth $10 million in loan financing agreement and seven months after the company closed their $23 million Series-A investment. Apart from Lagos, Accra, Johannesburg, Cape Town, Nairobi and Ibadan, The company was established in 2020. is currently operating across six additional African cities.
Over a billion reside in Africa, most with little or no access to auto loans. A mere 900,000 brand-new cars were sold in the region in 2019, compared to 17 million vehicles in the United States during the same year.
For the vast majority of people, having automobiles is considered expensive. Startups such as Moove are trying to change that by providing auto financing to those who could profit from owning cars, for example, gig drivers or mobility entrepreneurs, as Moove refers to them.
Drivers looking to establish an online ride-hailing business can pick from Moove, which handles brand-new vehicles. It does away with the need to obtain cash from car owners or get bank loans to finance vehicles purchased from dealers.
Once their registration is verified, drivers sign up through the website, get training and sign contracts with Moove to access credit for purchases of cars or rentals. The company registers the drivers with Uber as its partner in Africa and deducts the weekly rental fee from their earnings before crediting the remainder to their accounts.
When asked how many people have been able to get car ownership through this system, Ladi Delano, co-founder and co-CEO, replied, “We can provide financial independence through vehicle ownership for our clients who have completed the program across a variety of areas.”
In the next 6 months, Moove plans to focus its attention on seven markets that are not included are located in Asia, MENA, and Europe.
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