BasiGo Secures $6.6 Million Funding for Electric Vehicle Assembly in Kenya

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Electric Bus Manufacturer Expands Operations in Africa’s Largest Economy

Kenyan startup BasiGo, known for its electric buses, is set to begin assembling its vehicles in the country from next month. This move marks a significant expansion of the company’s operations in Kenya, as it aims to deliver 100 units by the end of next year.

Pilot Program Completed, New Buses to Hit Roads in January

BasiGo has already completed its six-month pilot program in Nairobi, the capital city of Kenya, and plans to deliver 15 of the 100 buses manufactured using parts from China’s BYD Automotive. These buses will be part of a larger fleet that aims to replace fossil-fuel-powered vehicles on Kenyan roads.

Charging Infrastructure Expansion

The company also plans to expand its charging infrastructure network, with an initial focus on Nairobi, where most of its clients are operational. This move is expected to support the increased demand for electric buses in the city.

New Funding Boosts Operations

BasiGo has received $6.6 million in new equity funding from investors, including Novastar, a Africa-focused VC firm; Mobility54, the corporate venture capital arm of Toyota Tsusho; and Trucks.vc, a Silicon-Valley based VC firm that backs startups in the transport sector.

Total Funding Now at $10.9 Million

This latest funding round brings BasiGo’s total amount raised since its launch last year to $10.9 million. The company plans to use this investment to ramp up production and expand its operations in Kenya.

CEO Jit Bhattacharya on the Future of Electric Buses in Africa

"We are deploying the necessary charging infrastructure to support our expanded fleet," said Jit Bhattacharya, CEO of BasiGo, in an interview with TechCrunch. "Currently, all of our customers are Nairobi public service vehicle operators, and we are deploying charging infrastructure within the Nairobi area to support their operations."

Bhattacharya also highlighted the company’s plans to expand its charging network beyond Nairobi once it begins delivering buses to clients operating outside of the city.

Pay-As-You-Drive Model to Promote Adoption

To ensure adoption, BasiGo has introduced a Pay-As-You-Drive model that allows bus owners to acquire electric buses at a similar upfront cost to diesel ones. The operators then pay a $0.17 subscription fee for every kilometer, which covers the leasing of the e-bus battery, charging services, and general vehicle maintenance.

Benefits of Electric Buses

The introduction of electric buses is expected to bring several benefits to Kenya’s transport sector. These include:

Reduced greenhouse gas emissions
Improved air quality in urban areas
Lower operating costs for bus owners
Increased efficiency and reliability of public transportation

Competition from Other EV Startups

While BasiGo is the largest electric bus manufacturer in Africa, it faces competition from other startups that are also entering the market. These companies include Leap, which has already launched its first electric bus model in Kenya.

Conclusion

BasiGo’s expansion into assembling electric buses in Kenya marks an important milestone for the company and the African EV industry as a whole. With its focus on sustainability, efficiency, and customer satisfaction, BasiGo is well-positioned to lead the charge towards a cleaner, greener future for Africa’s transportation sector.