First Co-investment with Novastar in Africa -Investment in BasiGo, an electric bus sales and leasing company in Africa-
2024-12-27
November 7th , 2024
SBI Investment Co.
First Co-investment with Novastar in Africa
-Investment in BasiGo, an electric bus sales and leasing company in Africa-
SBI Investment Co. (Head Office: Minato-ku, Tokyo; Representative Director, Chairman and President: Yoshitaka Kitao; hereinafter "SBI Investment") invested in BasiGo Inc. (Head office: Nairobi, Kenya; Representative: Jit Bhattacharya; hereinafter "BasiGo"), a leading provider of EV bus services in Sub-Saharan Africa.
This is the first project of co-investment with Novastar Ventures (Head Office : U.K.; Representative: Steve Beck and Andrew Carruthers; hereinafter "Novastar"), Africa’s oldest and largest venture capital firm. In November 2023, SBI Holdings, Inc. (Head Office: Minato-ku, Tokyo; Representative Director, Chairman, President & CEO: Yoshitaka Kitao; hereinafter "SBI Holdings") signed a strategic capital alliance agreement* with Novastar
BasiGo engages in the sale and leasing of EV buses in sub-Saharan Africa, leveraging its strength as a one-stop provider of EV buses, charging infrastructure, and financing services. Through its innovative leasing model, “Pay-As-You-Drive,” BasiGo offer affordable EV buses to public bus operators. In Kenya, more than 90% of electricity is generated from renewable energy sources, and the introduction of EV buses represents a significant step in the fight against climate change. The Kenyan government has implemented measures to encourage widespread EV adoption, including preferential electricity rates, consumption tax exemptions for EVs and import tax exemptions for locally assembled buses. Under these favorable conditions, BasiGo offers cost-effective EV buses that replace conventional diesel buses.
BasiGo has raised USD 42 million in financing to achieve its goal of introducing 1,000 EV buses to East Africa over the next three years. Of this financing, USD 24 million was raised as Series A equity financing from several investors, including SBI Investment and Novastar.
Novastar is Africa’s oldest venture capital firm, was founded in 2014 and has raised and invested over USD 280 million from investors around the world. Based on the strategic capital alliance agreement, Novastar will promote co-investment opportunities with the SBI Group by providing its knowledge of the African market and leveraging its longstanding investment experience and presence in Africa.
Going forward, SBI Investment will continue to leverage its partnership with Novastar to strengthen its network in Africa, where further growth in the venture ecosystem is expected. The partnership enhances to quickly identify the emerging entrepreneurs and nest-generation technologies, and to contribute to the sustainable growth of the African continent.
*See press release of November 2, 2023. (Only in Japanese)
https://www.sbigroup.co.jp/news/2023/1102_14197.html
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For inquiries regarding this press release, please contact:
Corporate Communications Department, SBI Holdings, Inc. 03-6229-0126