Mobility startup Moove raises $30m for UAE expansion

Africa based Mobility fintech startup Moove, has raised $30m through its first sukuk issuance, as it expands in the UAE and introduces its electric vehicle charging app ‘Moove Charge’.

The sukuk, arranged by Franklin Templeton Investments, is a way to tap into investors who are interested in environmentally and socially responsible investments, the company said.

Moove, which was founded in Nigeria and provides revenue-based vehicle financing, in partnership with ride-hailing giant Uber, has scaled up to 13 markets in 2022 with the aim of providing sustainable economic opportunities and facilitating access to vehicle financing for mobility gig workers.

The sukuk “will undoubtedly open up further avenues for the financing of Moove’s ambitious expansion plans”, the company statement said.

The sukuk has been privately placed and structured as a sukuk al- istisna, a Shariah-compliant contract for the order to manufacture EVs. Ladi Delano, co-founder and co-CEO of Moove, said the financing is a milestone, as it furthers the company’s plans to build the biggest EV ride-hailing fleet in the region to drive forward mobility electrification and enable cities to reach net-zero targets.

The company said it has plans to scale up to 2,000 EVs in the UAE in 2023, representing a carbon dioxide emissions reduction of 5,000 metric tonnes.

Moove has committed to making sure 60 per cent of the vehicles it finances globally are EVs. “The company is working with partners within the value chain across the MENA region to facilitate this transition in locations where charging infrastructure remains limited,” the statement concluded.