Kofa, a Ghana-based renewable energy company with expanding operations in Kenya, has secured US$8.1 million in pre-Series A funding to grow its AI-powered battery-swapping network across urban centers in Africa.
- •The round includes a mix of US$3.25 million in equity, US$$4.32 million in debt, and $590,000 grants.
- •In February last year, Kofa signed a deal with Kenyan carmaker — Autopax — to set up an electric motorcycle assembly and distribution plant.
- •Kofa plans to use the funding to increase the reach of its battery-swapping services for electric motorbikes and urban small businesses in Ghana, Kenya, and other fast-growing cities.
“This funding validates our vision to transform urban Africa’s energy landscape; and we are committed to building the ecosystem necessary to make this a reality,” Erik Nygard, CEO and founder of Kofa said.
The company also aims to accelerate the rollout of its smart energy management platform. In Kenya, where boda boda transport is a major economic driver and mobility option, Kofa sees significant opportunity to scale its services sustainably.
“The shift to cleaner energy, for both domestic and commercial use, goes beyond sustainability, it drives real economic impact but for this transition to succeed, several key elements must come together,” Nygard added.
Investors backing the round cited Kofa’s integrated ecosystem approach and its potential to deliver commercial returns alongside measurable climate and development impact.
The funding follows September’s £6.15 million investment from the Shell Foundation that helped Kofa expand operations in its home market. It was co-led by E3 Capital and Injaro Investments Limited, with contributions from the Shell Foundation, the UK Government’s Transforming Energy Access platform, and several angel investors.
According to Statista, the market volume of Electric Vehicles in Africa is expected to reach US$313.3 million by 2029, with an annual growth rate of 8.87%. This projection is set to incentivize investment in the sector, which has seen a fray of entrepreneurs and innovators.
