Silver Box, a Middle East-based investment and technology firm, has acquired Mobius Motors Kenya for an undisclosed sum, marking a significant shift for the ailing local automotive manufacturer.
- The company has reopened its service center and plans to restart full-scale production of the Mobius 3 model by July 2025, and launch a new model by the end of the year.
- Mobius had announced in August last year that it had ceased operations and appointed a liquidator to wind up the company after a shareholders’ meeting.
- The acquisition is expected to accelerate production, expand the brand’s market presence, and introduce new vehicle models tailored for the African market.
“Preserving and enhancing the Mobius brand was a key factor in this acquisition,” John Kavila, who has been appointed COO of the car maker, said in a statement.
“Mobius Motors has built an exceptional foundation, and we are eager to build on this success by focusing on expanding our market share and increasing accessibility for Kenyan consumers,” he added.
Mobius, which specializes in manufacturing affordable sports utility vehicles (SUVs), shut down operations in August 2024 after 14 years and KSh 5 billion in investments. The company’s fortunes had dissipated after it was plagued with massive debt and tax obligations, coupled with a decline in car sales.
“Upon analysis of the information provided by the parties in their application, the Authority determined that their combined turnover/assets was below the set threshold and, therefore, the transaction was approved in October 2024,” Competition Authority of Kenya (CAK) Director-General David Kemei said. The anti-trust regulator considers deals that are above KSh 1 billion in combined turnover or assets.
In addition to a KSh 73mn tax bill, Mobius Motors was Kshs 434.4 mn in debt in 2019, which rose to Kshs. 649.2mn in the first eight months of 2020. It also had a shareholder deficit of KSh 389.1 mn in 2020. In a statement, Silver Box says that it will leverage its expertise in corporate management and advanced technology to expand Mobius’ market share, develop a network of service stations, and introduce new models.
