In a recent Series A funding round, Roam, a Kenyan electric vehicle (EV) startup, has successfully raised $24 million, with a significant $10 million debt commitment from the U.S International Development Finance Corporation (DFC). The funding is earmarked for expanding the production of electric motorcycles and buses, marking a significant milestone for the company.
The financing was led by Equator, an Africa-focused climate tech venture capital fund, with the participation of various investors, including At One Ventures, TES Ventures, Renew Capital, The World We Want, and One Small Planet.
Founded in 2017 by Albin Wilson, Filip Lövström, and Mikael Gånge, Roam initially focused on EV conversions before transitioning to assembly in 2021 with substantial venture capital backing.
Roam’s strategic focus lies in scaling up production, particularly for its Move bus model, which was introduced last year. The company has recently established a larger motorcycle assembly plant, demonstrating its commitment to meeting the rising demand for electric vehicles in the region.
Albin Wilson, Roam’s Chief Product and Strategy Officer, emphasized the company’s goal for the year: “The goal this year is to increase and achieve stability in terms of production to meet demand. We want to reach a production rate of 1,000 motorcycles a month because we believe that’s where we can start filling the market with the relevant amount of motorcycles.”
Roam has developed a hybrid solution for its motorcycles, allowing users to charge the batteries either at home or at designated swap stations. The company aims to enhance its vertical integration by investing in research and tooling, reducing reliance on external suppliers and ultimately providing a cost-effective product to the market.
Despite challenges such as weak electricity grids, insufficient charging infrastructure, and high EV acquisition costs, Roam remains optimistic about the future of electric mobility in Africa.
