Urban Africa's AI-Driven Battery-Swapping Solution Secures $8.1 Million in Funding for Expansion
Kofa Expands Battery-Swapping Network Across Urban Africa
Ghana-based clean energy startup, Kofa, has announced its expansion of the battery-swapping network across urban Africa, with a focus on cities in Ghana and collaboration with local partners.
The company is growing its operations specifically in Ghana through a partnership with PASH Global. This partnership is backed by a Special Purpose Vehicle (SPV) supported by £2.35 million, which will be used to expand Kofa's battery swapping infrastructure within Ghanaian cities.
Kofa aims to create an affordable and sustainable electric mobility network, transforming energy and transport, particularly in urban areas where electric mobility demand is rising. The funding secured will help the startup scale its operations in key cities, extending access to cleaner energy and electric vehicle battery solutions in the region.
The recent $8.1 million pre-Series A funding round saw investments from E3 Capital, Injaro Investment Advisors, Shell Foundation (with UK Government support via TEA platform), and strategic angels like Penso Power's Richard Thwaites. The raise includes $3.25M in equity, $4.315M in debt, and $590K in grants.
Kofa's AI and IoT-backed system optimizes energy flow, demand prediction, and battery tracking, with an average swap time under 2 minutes. The company's swappable battery network offers a clean, reliable alternative, cutting emissions, saving time, and lowering fuel costs for riders and small businesses. Moreover, Kofa delivers real economic benefits for local communities, as stated by Jerry Parkes from Injaro.
Andrew Darge from E3 Capital emphasized that Kofa stands out in building an ecosystem, not just a product. The funds will help Kofa scale into new African cities, accelerate its AI-powered battery platform, and deepen partnerships across the clean energy value chain.
Africa's cities rely heavily on petrol-powered motorcycles and backup generators, with Africa's energy gap being massive. Generators power up to 40% of electricity in some regions, and motorcycles burn 40-60B liters of petrol annually. Kofa aims to change this, starting in Ghana and Kenya, then expanding to three more cities.
With over 200 battery swaps daily and a 99% charge success rate, Kofa's CEO and founder, Erik Nygard, said, "This funding validates our vision to transform urban Africa's energy landscape." The expansion strategy leverages both funding and strategic partnerships to deepen market presence in Ghana’s cities and scale across urban African markets.
- The funding secured by Kofa will not only help scale its operations in key cities, but also accelerate the development of its AI-powered battery platform, particularly in the realm of artificial-intelligence and technology.
- To broaden its reach, Kofa is collaborating with financial institutions such as E3 Capital, Injaro Investment Advisors, Shell Foundation, and Penso Power's Richard Thwaites, marking an investment in the energy industry and the future of clean, sustainable mobility.
- As Kofa expands its battery-swapping network across urban Africa, it is poised to revolutionize both the transport and finance sectors, offering a more affordable and efficient energy solution for riders and small businesses, all while reducing emissions and advancing the developing urban landscape through the application of technology and artificial-intelligence.
