Moove, World’s first mobility fintech, raises $105 M in Series A2 round

Launched in 2020,by Ladi Delano and Jide Odunsi, Moove -aNigerian revenue-based vehicle financing platformand Uber’s exclusive vehicle supply partner in Africalooks to expand to seven new emerging markets in Europe, Asia and the Middle East over the next six months following a $105 million raise in its latest round of funding, according to its CEO

The company which uses a credit scoring system to provide financing to mobility entrepreneurs for purchase of new vehicles for ride hailing, logistics and deliveries uses a percentage of their weekly revenue.

Moove is part of a new generation of Nigerian-born startups that are upending financial services across Africa, where the majority do not have access to bank financing.

CEO and co-founder Ladi Delano says Moove ‘s initial premise was to solve a problem for Uber, which at the time had an overwhelming demand with few drivers with cars in Lagos. It has since evolved to automobile financing for logistics and deliveries.

“The business has just been phenomenal. From the demand side it has been exponential since launch, pretty much every single month we have grown 50% month-on-month. Having surpassed over 3 million trips in Moove-financed vehicles across Africa, we’re now leading this growing category within fintech,” Co-CEO, Delano says on Moove’s planned expansion. “But there are still millions of budding mobility entrepreneurs in emerging markets across the world who have limited or no access to vehicle financing.”

Delano believes with the new fundraising, Moove is “well-positioned and funded to help solve this global problem.”

More so, the Moove model that we’ve pioneered in Africa providing revenue-based vehicle financing to mobility entrepreneurs can be applied anywhere in the world, according to Co-CEO Odunsi. “That’s why we’re excited to be expanding to new emerging markets in Asia and the MENA region.”

With operations Nigeria, Ghana, Kenya and South Africa, its expansion will see Moove extend financing to buses, trucks and three-wheelers and is expected to maintain the same level of growth this year, Delano adds.

The company claims its financed vehicles have completed over 3 million rides covering more than 25 million kilometers.

In spite of sensitization over the years, Africa’s unbanked population isstill at a significant number and fintech startups are emerging to disrupt the future of lending against the backdrop of traditional bankingprocesses which have demanded collateral that many small businesses do not have.

Existing investors Speedinvest, Left Lane Capital, and the latest ventures led the Series A2 round, which Moove says was oversubscribed, with participation from new investors including AfricInvest, MUFG Innovation Partners, Latitude, and Kreos Capital.

The latest fundraising round, which comes almost 7 months after the company’s $23 million Series A, a month after a $10 million-dollar debt financing round, and seed-stage funding from Future Africa in 2019, brings total investments raised by the startup to $174.5 million.

With the new investment, Moove plans to expand its vehicle financing model to 7 new markets across Asia, the Middle East and North Africa (MENA), and Europe to “meet” the needs of mobility entrepreneurs in other emerging markets”and declared in a statement that it also plans to have at least 30% of the vehicles it finances be electric by next year and at least half of its customers, female in future.