Nigerian Mobility Fintech Startup Moove raises $23m in funding

Nigerian mobility Fintech startup providing revenue-based vehicle financing to mobility entrepreneurs across Africa Moove has raised $23m in series-A funding to expand its tech-based vehicle financing platform.

The funding round was led by Speedinvest and Left Lane Capital, with participation from DCM, Clocktower Technology Ventures, the latest. ventures, LocalGlobe, Tekton, FJ Labs, Palm Drive Capital, Roka Works, KAAF Investments, Spartech Ventures, Class 5 Global, and Victoria van Lennep, co-founder of Lendable. The round was also joined by Verod Kepple Africa Ventures and Emso Asset Management.

The investment brings Moove’s total funding to $68.2-million, including $28.2-million in equity and $40-million in debt.

Moove was launched in 2019 by Ladi Delano and Jide Odunsi to help people buy new cars who otherwise couldn’t afford them. This process focuses on mobility entrepreneurs, who will be able to earn money, allowing them to pay off the vehicle over time.

Moove –who is also Uber’s exclusive vehicle financing and vehicle supply partner in sub-Saharan Africa, has completed more than 850 000 Uber trips through its Moove-financed cars.

In a statement released by the startup, it said: “Moove is the first investment in Africa for many of its US-based venture capital backers, underscoring the opportunity for a platform like Moove to address the continent’s vehicle financing gap.

“Operating on a continent with more than a billion people who have limited or no access to vehicle financing – and the lowest per-capita vehicle ownership in the world – Moove will use the funding round to build a full-service mobility fintech that democratizes vehicle ownership across Africa. The market opportunity is vast – Africa is home to 1.3 billion people, with 43% in urban areas and growing, and in 2019 had fewer than 900 000 total new vehicle sales compared to 17 million in the US.

“Moove’s model is to provide loans to its customers by selling them new vehicles and financing up to 95% of the purchase within five days of sign-up. Moove customers can choose to pay back their loans over 24, 36, or 48 months, using a percentage of their weekly revenue” it said.

Moove is also currently operating in South Africa and Ghana and will be looking to expand its product service through funding.