Moove cleans up $ 23 million to boost vehicle ownership
To move, an African FinTech company, Monday August 9 announcement that it has secured $ 23 million in Series A funding to provide revenue-based vehicle financing initiatives for Uber drivers across the continent. Speedinvest and Left Lane Capital led the funding round, which also benefited from contributions from DCM, Clocktower Technology Ventures, thelatest.ventures, LocalGlobe, Tekton, FJ Labs, Palm Drive Capital, Roka Works, KAAF Investments, Spartech Ventures, Class 5 Global and Lendable Co-founder Victoria van Lennep.
Moove’s current lender, Emso Asset Management, as well as Africa specialist Verod Kepple Africa Ventures also participated, bringing Moove’s total funding to $ 68.2 million.
The Nigerian company will use the financing to level vehicle ownership across the country by increasing vehicle financing opportunities. Africa is home to 1.3 billion people, but in 2019 the country had fewer than 900,000 new car sales compared to 17 million in the United States, according to the company.
Moove is Uber’s vehicle financing and supply partner in Africa, with company-funded cars having made more than 850,000 Uber trips, covering more than 13 million kilometers across the continent to date, the company said. society.
Investing in Africa-based startups seems to be a trend lately. As PYMNTS reported last week, Kuda Bank, another Nigerian FinTech firm, generated $ 55 million in a Series B funding round for a valuation of $ 500 million. The digital bank plans to use the support to expand into other African countries.
Read more: Nigerian Kuda Bank Raises $ 55 Million at $ 500 Million Valuation
With the aim of increasing new vehicle purchases across the continent, Moove’s business model involves financing new vehicle loans up to 95% of the purchase price. Clients can repay their loans in 24, 36 or 48 months using a portion of their weekly income. To determine if a potential car buyer is a good borrower, Moove integrates its credit scoring technology on Uber and electronic logistics platforms, which provide access to Uber driver performance and income data.