Moove Acquires $76M Equity, at a $550M Valuation
African mobility fintech company, Moove, has successfully raised $78 million in new funding. This funding round includes $28 million in equity from new and existing investors led by Mubadala Investment Company, $10 million in venture debt from funds managed by BlackRock, and $38 million in undisclosed funds raised during the previous twelve months.
Moove, founded in 2020 in Lagos, Nigeria, by co-CEOs Ladi Delano and Jide Odunsi, provides vehicle financing to drivers for ride-hailing platforms like Uber and other gig networks. The company utilizes revenue-based financing to offer flexible options for drivers who wish to join the ride-hailing or gig economy sector without having to rely on car owners or traditional bank loans.
Moove helps drivers access loans to purchase or rent cars, sign contracts, and get on platforms like Uber or other mobility networks. The company deducts weekly rental fees from drivers' earnings, and once the loan is repaid (at an annual interest rate of 8% to 13%), drivers own the cars.
Since its inception, Moove has expanded its operations to 13 cities across Africa, Europe, the Middle East, and Asia, working in countries such as Nigeria, Egypt, South Africa, Kenya, the U.K., India, and the UAE. The company's goal is to solve the lack of access to vehicle financing for mobility entrepreneurs globally.
Moove partners with Uber and other mobility platforms to provide vehicle supply and has seen significant growth in revenue, with annual recurring revenues of $90 million and a 17x revenue growth since its Series A funding round in 2021.
This new funding will support Moove's expansion efforts and solidify its presence in markets where it is a key vehicle supply partner for Uber.
The company's plans include investing in customer experience, accelerating product development, and working towards achieving group-wide profitability within the next 12 months. Despite recent reports of internal challenges, Moove's profitability potential and global expansion plans have continued to attract investment interest.