The company will provide electric buses offering a more environmentally sustainable solution that is also cheaper to maintain than current diesel buses.
Opibus with Nairobi as its African head office converts diesel and petrol engines into electric motors reducing costs and carbon dioxide emissions.
This comes as the world meets in Glasgow to try and mitigate the harmful effects of climate change majorly caused by carbon emissions.
Eco-friendly engine converter Opibus has raised Sh834.37 million ($7.5 million) in equity and grant funding to scale up production of electric motorcycles and buses in Kenya from next year.
At the same time BasiGo, an e-mobility start-up headquartered in Nairobi yesterday announced its entry into the Kenyan market.
The company will provide electric buses offering a more environmentally sustainable solution that is also cheaper to maintain than current diesel buses.
BasiGo has already raised Sh100 million in funding for the venture.
Opibus financing was led by Silicon Valley fund, At One Venture with support from Factor(e) Ventures and Ambo Ventures consisting of Sh556.25 million ($5 million) equity and Sh278.1 million ($2.5 million) grants.
Opibus with Nairobi as its African head office converts diesel and petrol engines into electric motors reducing costs and carbon dioxide emissions, which are the major contributors of air pollution in urban areas.
“We are proud to be backed by globally recognised investors providing a balance between deep-tech and emerging market expertise. We have together reached a clear strategic and visionary alignment – with the conviction that mass manufacturing of electric mobility solutions in Africa will not only make the products more accessible and affordable but also lead to one of the largest industrialisation and welfare transitions of the region in modern time,” the start-up co-founder and chief executive officer Filip Gardler said.
This comes as the world meets in Glasgow to try and mitigate the harmful effects of climate change majorly caused by carbon emissions.
"For years, diesel-powered buses have been the only viable solution for bus operators in Kenya. We are excited to provide public transport operators with a new option: state-of-the-art electric buses that are more affordable, more reliable, and reduce bus operator exposure to the rising cost of diesel fuel " said Jit Bhattacharya, chief executive officer and co-founder at BasiGo yesterday.
Opibus was founded as a research project at one of Sweden's top technical universities with a mission to implement electric mobility in emerging markets.
It chose Kenya as the location for the headquarters as it is the fastest-growing nation in sub-Saharan Africa. The country also has a growing number of used vehicle imports, which means electric conversions make sense.
“The targets and objectives we’ve set for Opibus might seem bold, however, it is a mission that has become more important than ever.”
