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French development finance institution Proparco has invested $1.5 million in ARC Ride’s funding round to support the company’s electric mobility expansion in Africa.
The investment forms part of ARC Ride’s $33.3 million financing round, comprising a $23 million Series A round and $10 million in debt. The Series A round was led by Novastar Ventures and Norrsken22, with the International Finance Corporation, British International Investment and Proparco joining as co-investors.
ARC Ride is a Kenya-based electric mobility company focused on two- and three-wheeler transport. Its battery-as-a-service model allows riders to use electric vehicles without owning batteries outright, reducing upfront costs and enabling battery swaps through a network of smart battery swap stations. The company has an estimated 30% market share of Nairobi’s electric two-wheeler market.
ARC Ride said it will continue expanding in Kenya, including Nairobi and the western region. It is also targeting new markets including Ghana, South Africa, Tanzania and Uganda.
“Through this investment in Arc Ride, we reaffirm our conviction that electric mobility is a key driver of inclusive and green growth in Africa. By supporting the development of accessible charging infrastructure and a business model rooted in local realities, we are proud to contribute to job creation, improve the livelihoods of boda-boda drivers, and accelerate the continent’s energy transition,” said Fabrice Perez, head of financial institutions and the innovation division at Proparco.
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