After collecting $ 31 million in Series B funding, Nigerian mobility technology firm Metro Africa Xpress Inc. (MAX) plans to expand into more African markets as it fights for the formalization of the continent’s transportation sector.
The company stated that it plans to invest in Ghana and Egypt by the end of the first quarter of 2022, as well as other Francophone, East African, and South African countries by the end of the same year. Over the next two years, the monies will be utilized to grant vehicle loan credits to more than 100,000 drivers.
MAX began in 2015 as a delivery company that processed client orders using motorbikes before expanding into ride hailing and subsequently vehicle subscription and finance services. This is a solution based on the information provided by the first service.
CEO Guy-Bertrand Njoya said, Startups introduced vehicle financing in 2018, Churn rates by their drivers have dropped to “near zero.”
“We spent some time understanding the driver’s operation, and it became clear to us that most of them don’t own the car they use,” Njoya added.
“It became clear that the fundamental problem facing drivers was consistent access to the vehicle, and then vehicle access was the first step in successfully solving the mobility challenges across the continent. I realized that I needed to deal with the problem. “
MAX’s commercial banking partners are now giving car purchase loans to drivers based on credit risk evaluations based on data provided by mobility businesses.
MAX intends to establish an electric car infrastructure in new areas as part of its service portfolio, with the goal of delivering EVs to emerging clients.
MAX co-founder and CEO, Adeta Yoba Miduro & Chinedu Azodoh another Co-Founder of the startup said, “Making mobility safe, affordable, accessible and sustainable by deploying high-performance technology and operators is another milestone in our journey. With this investment We can transform the lives of hundreds of thousands of drivers across the continent, accelerate international expansion and continue pioneering initiatives in the field of mobility.”
Providing mobility-related solutions The MAX operation’s nerve center So the next challenge you’ll have to solve is boosting driver revenue while lowering operating costs.
The creators quickly concluded that introducing electric vehicles was a logical next step, and MAX launched its electric vehicle journey in 2019. The company is now giving drivers a range of leasing and financing options for two-wheeled, three-wheeled, and four-wheeled EVs.
Furthermore, Njoya added, “This is an additional option we wanted to offer to drivers because what they care most about is living a decent life through increased income. For us, electric vehicles are an important driving force for that purpose. It will help, because EVs are more cost-effective today than comparable gasoline.”
MAX is actively developing and manufacturing its own electric bike range. To deliver EVs, Njoya said it is collaborating with partners across the ecosystem, including Yamaha, a major motorbike manufacturer.
“We are working with Yamaha in the areas of driver access to vehicles and financial access. As a testament to the success of our work and partnership, Yamaha has been with them today for the past two years. With this work in mind, we have set up a driver vehicle financing entity exclusively for Africa, “said Njoya.
To read our blog on In Pakistan, electric vehicles are being proposed for school transportation, click here.
