Moove, an African mobility fintech specializing in vehicle financing for ride-hailing and delivery app drivers, has secured $100 million in funding to facilitate its expansion into new markets.
Although Moove did not disclose the lead investor, sources close to the deal confirmed to TechCrunch that Uber spearheaded the Series B round, marking Uber’s inaugural investment in an African startup. The funding, which also includes contributions from sovereign wealth fund Mubadala and other investors, has propelled Moove’s post-money valuation to $750 million, up from $550 million last August.
To date, Moove has raised $250 million in equity and $210 million in debt financing. This injection of capital is pivotal for Moove’s plans to extend its revenue-based vehicle financing platform to 16 markets by the end of 2025. The company currently operates in 13 cities across six countries, including Nigeria, South Africa, Ghana, the U.K., India, and the UAE.
Moove’s approach to vehicle financing involves acquiring fleets of vehicles and selling them to drivers through its platform. Its software evaluates driver creditworthiness, enabling them to purchase new vehicles for various purposes such as ride-hailing, logistics, and deliveries. The vehicle selection ranges from conventional options like Toyotas and Suzukis to electric vehicles (EVs) like Teslas.
A portion of drivers’ weekly earnings is deducted to cover vehicle payments. This funding round underscores Moove’s strategic expansion plans and its commitment to promoting sustainable mobility solutions, particularly the adoption of EVs.
Uber’s decision to invest in Moove reflects its interest in ensuring a stable driver supply for its ride-hailing platform across Africa. Moove’s partnerships with other gig networks, including SWVL and Kobo, further solidify its position as a key player in the mobility fintech sector.
In response to challenges such as fuel price hikes and exchange rate fluctuations impacting drivers’ livelihoods, Moove has implemented initiatives like Moove Care programs to support its drivers. Despite facing macroeconomic headwinds, Moove remains committed to its mission of providing access to vehicle financing and generating employment opportunities across Africa.
Diversification across different markets and categories, coupled with strategic partnerships, has fueled Moove’s growth trajectory. With plans to expand into Southeast Asia and Latin America, Moove aims to capitalize on emerging opportunities while maintaining a focus on profitability and positive unit economics.
