NAIROBI, Kenya, Mar 26 – Kenya’s electric bus manufacturer, BasiGo, has secured Sh397.05 million ($3 million) from Toyota’s parent company, CFAO Group.
The investment is split between CFAO Kenya and Mobility54, the corporate venture capital arm of CFAO.
BasiGo says that it will use the fund to scale up its manufacturing and delivery capabilities in Kenya and Rwanda.
“We are honored to have CFAO as our partner in the electrification of public transport in Africa,” said Jit Bhattacharya, BasiGo Co-Founder and CEO.
“As a leader in both the energy and mobility industry in Africa, CFAO recognizes the extraordinary opportunity for electric mobility to transform African economies,” he added.
“With CFAO’s strength and experience in the mobility industry. Customers/operators can trust that BasiGo is ready to deliver competitive, high-quality E-Bus solutions at scale.”
CFAO, which operates in over 40 countries globally, owns Africa’s leading automotive distribution network, such as Toyota Kenya.
The group is already active in the e-mobility industry in East Africa. Early this year, CFAO launched the first dealership for BYD electric cars in Kigali, Rwanda.
Likewise, Mobility54 invests in e-mobility start-ups.
In February 2024, BasiGo completed production of its first locally assembled electric buses.
The vehicles were assembled at the Kenya Vehicle Manufacturers (KVM) factory in Thika, in which CFAO Motor Kenya, an affiliate company of CFAO Kenya, holds an ownership stake.
BasiGo aims to deliver 1,000 locally assembled e-buses in the next three years, creating 300 green manufacturing jobs in Kenya.
The company has already received over 500 reservations from bus operators in Nairobi and an additional 100 reservations from bus operators in Kigali, Rwanda.
It also runs a pay-as-you-drive financing model, a mileage-based lease which eliminates the high upfront cost of an electric bus for operators.
