Electric motorbike company Spiro receives $63m in financing
GuarantCo, part of the Private Infrastructure Development Group (PIDG), in partnership with Societe Generale will provide an up to XOF 37.8 billion (c. $63 million) financing solution, with a first tranche of XOF 21 billion (c. $35 million), to support the financing of Spiro’s fleet of electric motorbikes as well as the associated batteries and swap stations in Benin and Togo. The funding comprises a 70% partial credit guarantee from GuarantCo and a borrowing base facility provided by Societe Generale.
The Spiro project is specifically targeted at motorbike taxi drivers of which there are an estimated 400,000 in Benin and Togo.
Spiro is looking to deploy at least 15,700 clean electric motorbikes with 31,400 electric batteries and more than 1,000 swap stations in addition to its existing operational fleet of 5,706 vehicles and around 130 swap stations.
Layth Al-Falaki, CEO of GuarantCo said, “We are delighted to have signed this transaction with Spiro, and to have further cemented our strong relationship with Societe Generale. This landmark electric mobility project will contribute to improving the environment to the benefit of the people of Benin and Togo and will directly contribute to addressing the challenge of providing affordable, clean vehicles in the two countries. In addition, it will help transform the market through wider demonstration and replication effects.”
Mohamed Fadel Kane, MD for structured finance at Societe Generale Group said, “Consistent with our ’raison d’être’ at Societe Generale – to co-create with our clients a more sustainable and prosperous future by delivering innovative, responsible financial solutions – we are proud to propel the evolution of sustainable mobility in Africa. With the successful backing of Spiro’s significant initiative, we are demonstrating our steadfast commitment to shaping the future of finance in alignment with global sustainability goals. These clean electric motorcycles are not just a stride towards reducing our environmental impact; they promise to stimulate economic growth in Togo and Benin and to fulfil the pressing mobility needs of Africa. The project’s financing was significantly strengthened by our partner GuarantCo. This successful partnership testifies to our ability to forge robust alliance, reinforcing our commitment to deliver sustainable, high-impact transformation.”
Jules Samain, CEO of Spiro said, “This pivotal partnership with Societe Generale and GuarantCo has accelerated our mission to tackle climate change, enhance public health, and empower Africa’s economies. By expanding our e-mobility footprint in Benin and Togo, we’re making significant strides in reducing greenhouse gases. This isn’t just about electric motorbikes; it is about envisioning a sustainable future for Africa and stimulating socio-economic growth through job creation and gender-inclusive employment. This alliance brings us a step closer to our goals, signalling transformative changes for Benin, Togo and beyond.”
* Subscribe to Africa Private Equity News’ monthly Dealmaker’s Log for a database of the reported investment deals, exits and fundraising closes. Click here for more information.