Kobo360 has announced that it has raised $20M (Ksh. 2 billion) Series A equity round led by Goldman Sachs, with participation from Asia Africa Investment and Consulting Pte. and existing investors including TLcom Capital, Y Combinator, the International Finance Corporation.
An additional $10M (Ksh. 1B) in local currency working capital financing has been secured from Nigerian commercial banks.
With the funding, the company will scale the organization, develop the technology offering and accelerate supply growth. It plans to add 25,000 drivers to the platform in the coming months. It also intends to enter 10 new countries by the end of 2020 in addition to the ones it operates in that includes Nigeria, Togo, Ghana and Kenya.
Kobo360 is developing a suite of driver-focused products to support the over 10,000 drivers on the Kobo360 platform. It has launched KoPAY, offering access to up to $5,000 monthly working capital; KoboSAFE, access to an insurance product; and KoboCARE, access to discounted petrol, comprehensive HMO packages and an incentive-based education program for drivers’ families.
Kobo360 was launched in 2017 by Nigerian entrepreneurs Obi Ozor and Ife Oyedele II. Kobo360 is a technology logistics platform that connects the supply of trucks with the demand for transportation services by cargo owners. Kobo360 officially launched in Togo in March 2019 while it launched in Ghana on 4 April, and in Kenya on May 2019. The team in Kenya is led by Kagure Wamuyu, COO East Africa and the West Africa ones by Bilal Abdullah, COO West Africa.