BasiGo secures $42 million to accelerate public transport electrification in East Africa

On October 23, 2024, BasiGo, a leading provider of electric bus solutions in sub-Saharan Africa, has raised $42 million in capital, marking a major milestone in its mission to electrify public transportation across the region. The funding, consisting of $24 million in Series A equity and $17.5 million in debt, will allow the company to scale operations and expand its electric bus services throughout East Africa, including Rwanda.

The Series A equity round was led by Africa50, an African infrastructure investment platform, with co-investments from Novastar Ventures, CFAO Kenya, and other international partners. This funding unlocks key debt facilities, including a $10 million loan from the U.S. Development Finance Corporation (DFC) for BasiGo’s operations in Kenya and an additional $7.5 million from British International Investment (BII) to scale electric bus deployments in Rwanda.

BasiGo’s CEO, Jit Bhattacharya, expressed enthusiasm for the new investment, stating, “Since our founding in 2021, we’ve been committed to driving clean, electric public transport in Africa. This funding validates our business model and accelerates our mission to deliver 1,000 electric buses in East Africa over the next three years.”

The company plans to use the capital to enhance its manufacturing capacity in Kenya and expand its Pay-As-You-Drive service, which makes electric buses more accessible for operators. The funds will also support the launch of commercial electric bus services in Rwanda, where BasiGo has already received over 300 reservations from local operators.

Driving Green Growth in Africa

Africa50’s Managing Director, Raza Hasnani, highlighted the significance of the investment: “We are proud to support BasiGo as it pioneers the green transition in East Africa’s public transport sector. This investment, the largest by an African fund in the e-mobility space, reflects our commitment to sustainable infrastructure development across the continent.”

In Rwanda, where BasiGo is already piloting six electric buses on routes in Kigali, the new funding will enable commercial deliveries of e-buses, contributing to the government’s goal of reducing carbon emissions and improving urban air quality. The support from BII aligns with its priority of fostering sustainable economic growth through electrification.

As electric mobility gains momentum, BasiGo’s success serves as a testament to the growing demand for sustainable transport solutions in Africa. With the continued backing of international investors, the company is well-positioned to lead the region’s transition to cleaner, more efficient public transport.