Nigeria: Automotive aftersales platform receives VC funding
Japanese venture capital firm Global Brain has invested in Mecho, a Nigeria-based automotive aftersales platform, through its GB-VIII fund.
With a population estimated at over 210 million in 2021, Nigeria is the most populous country in Africa. In terms of the automotive industry, the number of registered vehicles is over 12 million and more than 90% of the vehicles are imported used vehicles. The aftersales market is powered by imported parts, which are mostly substandard and goes through a broken supply chain. Mecho’s challenge is to streamline this supply chain through providing solutions to fleet owners, workshop owners, and parts vendors.
Global Brain will support Mecho on its parts procurement from Asian suppliers and business development for the new services to penetrate this fragmented market.