<h1>Press Release: Octavia Carbon Raises Capital to Advance Carbon Capture Technology</h1>Innovative Solutions to Combat Climate Change through Carbon Capture<a href="https://latest-api.renewcapital.com//uploads/2024_02_01_FINAL_Octavia_Press_Release_7bc5259226.pdf" target="_blank" rel="noopener noreferrer">Download the full press release</a> Nairobi, Kenya, January 2, 2024&nbsp;—Octavia Carbon, based in Kenya, has secured investment to advance its Direct Air Capture (DAC) technology, focusing on CO2 extraction from the atmosphere. The company aims to combat climate change by designing, building and deploying machines that directly capture atmospheric CO2 using DAC technology.&nbsp;<img src="/uploads/Octavia_6b74c082d5.jpg" alt="A photo of the Octavia Carbon team demonstrating their direct air carbon capture technology in the Nairobi, Kenya lab and factory.">"Carbon capture technologies have a crucial role to play in addressing climate change," stated Martin Freimüller, founder and CEO of Octavia Carbon. "Our DAC technology will help reduce carbon emissions in the global pursuit for a net-zero future."Octavia Carbon provides carbon credits for purchase, enabling companies and individuals to offset their carbon footprint affordably while forging a path to offering climate justice to communities in Kenya. The company is leveraging Kenya’s natural geothermal, geology and talent for cost-effective operations."Octavia Carbon's innovative technology and recognition of the growing demand for durable and verifiable carbon credits in the carbon market continues to position Africa as an active contributor to global climate solutions," said Esther Mwikali, Investment Manager at Renew Capital. "We're excited to support Octavia in their&nbsp; efforts." The investment received by Octavia Carbon emphasizes the importance of innovative climate solutions and Africa's role in contributing to a more sustainable future. &nbsp;*Ecosystem activation, pipeline development and capacity-building support provided to Renew Capital portfolio companies is generously supported by Global Affairs Canada.

Octavia Carbon raises capital from Renew Capital to advance carbon capture technology in Kenya, reducing CO2 emissions and supporting climate solutions.

large_Group photo.JPG

medium_Group photo.JPG

small_Group photo.JPG

thumbnail_Group photo.JPG

xlarge_Group photo.JPG

xsmall_Group photo.JPG

Group photo.JPG

Press Release: Octavia Carbon Raises Capital to Advance Carbon Capture Technology

<h1>Press Release: STIMA Pioneers EV Battery Management Solution&nbsp;</h1>Renew Capital invests in STIMA to expand their smart platform for electric vehicle charging infrastructure, monitoring and battery fleet management.<a href="https://drive.google.com/file/d/1RfgwCN80aYVpfGuU0hrOdeTkKf4y1oxd/view?usp=drive_link" target="_blank" rel="noopener noreferrer">Download Full Press Release</a>NAIROBI, Kenya, November 28, 2024&nbsp;—&nbsp;STIMA is transforming the electric vehicle (EV) industry with a smart, all-in-one platform that takes the hassle out of managing battery fleets. The platform allows users to easily and efficiently manage batteries regardless of the technologies they use.&nbsp;<figure class="image"><img src="/uploads/Stima_Boda_Photo_1_2989b59f23.jpg" alt="Renew Capital, an early stage venture capital firm in Africa invests in Stima Boda; a photo of the Stima Boda team"></figure>By analyzing real-time data from e-mobility assets, STIMA provides users with direct actionable insights related to conducting and optimizing their operations, improving battery performance and lifespan, implementing fleet predictive maintenance and managing warranty claims with the supply chain. It further makes the link with battery financiers to create a trusted track record and inform on portfolio risks and investments' expected returns.“Our goal is to empower e-mobility businesses by providing battery intelligence that enhances battery fleet efficiency and maximizes returns for businesses,” said Jason Gras, co-founder of STIMA. “Our platform’s data-driven approach simplifies the complexities of battery management and delivers real-time insights and optimizations that make operations smoother, safer and more scalable. This ultimately de-risks battery financing, supporting large project financiers in joining the sector”.STIMA has partnered with leading companies in the EV space in Africa, such as Bboxx, Greenwheels, Roam and MAX to help scale and optimize battery-swapping infrastructure.“As we see more electric two-wheelers on the road and as infrastructure deployments expand, the need for a robust and efficient battery management is becoming critical and the market is adapting to this as well,” said Esther Mwikali, senior investment manager at Renew Capital. “STIMA’s platform addresses this by helping businesses manage their battery fleets, cut costs and improve performance. We’re proud to support this team as they meet this growing demand in the EV industry.”Support to Renew Capital portfolio companies is provided in partnership with Global Affairs Canada.

Renew Capital invests in STIMA to expand their smart platform for electric vehicle charging infrastructure, monitoring and battery fleet management.

Stima Boda Photo 2.jpg

Press Release: STIMA Pioneers EV Battery Management Solution 

<h1>Why We Invested in Octavia Carbon: A Climate Game-Changer</h1><figure class="image"><img src="/uploads/Linkedin_Templates_10_fd0f99e3ea.png" alt="A photo of the Octavia Carbon team demonstrating their direct air carbon capture technology in the Nairobi, Kenya lab and factory."></figure>Octavia Carbon, Kenya-based and the first Direct Air Capture (DAC) startup in the Global South, is leveraging the country’s geothermal energy, favorable geology and local talent to pioneer carbon capture solutions. Their mission: to pull CO₂ from the air, fight climate change and create carbon credits that offset emissions affordably.<h2>Why Kenya?</h2><ul><li>Geothermal power provides over 85% of the energy needed for DAC, making carbon capture more affordable and greener.</li><li>The Rift Valley's basaltic rock can safely store CO₂ for millennia, offering a long-term carbon solution.</li></ul><h2>Innovation and Traction</h2><ul><li>Octavia’s Project Hummingbird: Africa’s first DAC plant will capture 1,000 tons of CO₂ annually​ (<a href="https://vc4a.com/ventures/octavia-carbon/">VC4A</a>).</li><li>Five large-scale DAC machines have been built by Octavia and the company plans to move to mass production soon.</li><li>Carbon credits are already offered by Octavia, aligning with global climate goals ​(<a href="https://fsdafrica.org/blog/using-direct-air-carbon-capture-technology-to-address-emissions/">FSD Africa</a>).</li></ul><h2>Growth Potential</h2>Octavia Carbon partners with global platforms like Cella, Klimate.co and Tomorrow’s Air to scale DAC technology. Their model will hopefully help Kenya and Africa emerge as a carbon credit leader, building resilience through technology and sustainable economic growth​ (<a href="https://nextbillion.net/news/kenyan-climate-tech-startup-octavia-carbon-secures-funding-for-carbon-capture-technology/">NextBillion</a>).<a href="https://www.wri.org/blog/2020/03/to-unlock-the-potential-of-direct-air-capture-we-must-invest-now">Investing in DAC</a> now is critical to reducing future costs. This, based on the current pace of climate change, will be ever more important as carbon dioxide removal becomes even more necessary (<a href="https://www.wri.org/insights/direct-air-capture-resource-considerations-and-costs-carbon-removal">WRI</a>).&nbsp;<h2>Quote from Renew Capital</h2>"Octavia Carbon is redefining climate action by leveraging Kenya’s strengths. This investment reflects our belief in Africa’s ability to lead in this space." – Lucas Robinson, Principal - Consulting, Renew Capital.

Learn why we invested in Octavia Carbon, an early-stage startup using Direct Air Capture (DAC) technology to extract CO₂ from the atmosphere and deliver innovative climate solutions.

Linkedin Templates (17).png

Why We Invested in Octavia Carbon: A Climate Game-Changer

<h1>Press Release: Chpter Secures Investment to Drive Sales for African Businesses on Social Media</h1>Changing Africa’s social commerce landscape.<a href="https://latest-api.renewcapital.com/uploads/2024_09_24_FINAL_Chpter_Press_Release_ff5c6b13ff.pdf" target="_blank" rel="noopener noreferrer">Download full press release</a>Nairobi, Kenya, September 24, 2024&nbsp;— Renew Capital has invested in&nbsp;<a href="https://app.chpter.co/">Chpter</a>, an AI-powered conversational commerce platform that enables businesses to sell more on social media platforms such as WhatsApp and Instagram.&nbsp;Founded in 2022, Chpter enables faster and simpler social commerce through automated conversations, marketing and aggregated payments. This helps businesses to increase sales and manage customer interactions more efficiently. With this new funding, Chpter will speed up product development, expand its presence in sub-Saharan Africa and boost its sales and marketing.<figure class="image"><img src="/uploads/Chpter_Cofounders_From_Left_Mark_Kuria_Tesh_Mesongo_00af38c3c5.jpg" alt="A photo of the four co-founders of Chpter, an AI-powered platform helping businesses increase sales on social media platforms like WhatsApp and Instagram."></figure>“At Chpter, we’re dedicated to transforming the way businesses interact with their customers on social media,” said Tesh Mbaabu, Co-Founder and CEO of Chpter. “We look forward to working with Renew Capital to accelerate our growth and further our mission of empowering businesses to elevate their social commerce strategies and take advantage of social media.”&nbsp;Chpter’s platform is already in use in Kenya and South Africa, serving industries such as retail, financial services and education. The company plans to expand into new markets, including Nigeria, Ghana, Egypt and Morocco.“As one of the investors in the consortium, Renew Capital is proud to support Chpter’s innovative approach to social commerce,” said Esther Mwikali, Senior Investment Manager at Renew Capital. “Chpter’s technology solves key problems for African businesses, like shopping cart abandonment and scattered customer interactions. Chpter is ready to drive growth and change the social commerce landscape by making engagement on platforms like WhatsApp and Instagram more effective.”Renew Capital is committed to backing growth-oriented founders who possess a blend of skill, grit and passion. Entrepreneurs seeking financing for asset-light, tech-enabled businesses should check out the&nbsp;<a href="https://venturelab.renewcapital.com/">Renew Venture Lab</a> and apply.Support provided to Renew Capital portfolio companies is generously supported by Global Affairs Canada.

Chpter secures investment to enhance social media sales for African businesses through AI-powered solutions. Learn how this platform is shaping social commerce across Africa.

Chpter-Cofounders_From Left-Mark, Kuria, Tesh, Mesongo (2).jpg

Press Release: Chpter Secures Investment to Drive Sales for African Businesses on Social Media

<h1>Why We Invested in MPost: Facilitating Universal Access to Postal Addresses in Africa</h1><figure class="image"><img src="/uploads/Mpost_1_e6a08f59c4.png" alt="A customer using MPost mobile service to receive a package."></figure>Reports indicate that billions of people worldwide lack a physical address. In Africa, where the population is expected to reach&nbsp;<a href="https://www.afdb.org/en/knowledge/publications/tracking-africa%E2%80%99s-progress-in-figures/human-development#:~:text=By%202050%2C%20the%20African%20population,by%20more%20than%20fertility%20rates.">2.4 billion people by 2050</a> and with two-thirds concentrated in&nbsp;<a href="https://amalicities.africa/the-latest-trends-the-urban-governance-implications-of-african-urbanisation/#:~:text=Africa's%20urban%20population%20is%20projected,be%20concentrated%20within%20urban%20areas.">urban areas</a>, the need for accessible postal services has never been more urgent. Inadequate infrastructure leaves a significant portion of the population without access to essential services such as government services notifications, banking and e-commerce. Traditional solutions like shared Post Office (P.O.) boxes often fall short, plagued by challenges such as identity verification, document loss and privacy concerns.MPost is changing this by converting phone numbers into functional addresses. The company is making it easier than ever to receive mail by leveraging Africa's extensive mobile connectivity, where, as of 2022,&nbsp;<a href="https://www.gsma.com/solutions-and-impact/connectivity-for-good/mobile-economy/wp-content/uploads/2024/05/ME-SSA-2023.pdf">980 million</a> people in sub Saharan Africa have access to a SIM card.MPost is transforming how individuals send and receive mail and parcels by allowing users to register for their service by linking their mobile phone number to a postal address via SMS, USSD code or online platform. Besides mail delivery, MPost’s solution also addresses a critical market gap by enabling fintechs, banks and governments to conduct Know Your Customer (KYC) checks on individuals without traditional postal addresses.The investment from Renew Capital underscores MPost's role in bridging the postal infrastructure gap and propelling Africa's postal services toward greater accessibility and efficiency.<figure class="image"><img src="/uploads/Mpost_2_c28b88dca6.png" alt="A photo of the MPost team in Nairobi, Kenya"></figure><h2>Strong Founder</h2><a href="https://ke.linkedin.com/in/twahirmohamed">Twahir Mohamed</a>, co-founder and CEO of MPost, launched the company in 2016 to address the inefficiencies of postal systems, starting in Kenya. He has extensive expertise in digital technology, holding a postgraduate degree in Artificial Intelligence and Machine Learning from The University of Texas at Austin, alongside a bachelor’s degree in Information Technology from Jomo Kenyatta University of Agriculture and Technology, Kenya. Twahir's grit, leadership and technical acumen have been pivotal in MPost's pioneering efforts to modernize postal services and enhance accessibility across Africa.<h2>Demonstrated Traction</h2>Some of MPost’s key milestones:&nbsp;<div class="raw-html-embed">
 <link rel="stylesheet" href="styles.css">

</div><ul><li>In 2019, MPost raised&nbsp;<a href="https://afrikanheroes.com/tag/twahir-mohamed/">$1.9M</a> in its Series A funding round led by Cape Town-based VC firm HAVAÍC, along with new investors from South Africa, Australia, Japan, the U.S., Canada and Nigeria, including blue-chip institutions, VC funds and high-net-worth individuals.</li><li>MPost has partnered with Kenya’s state-owned Postal Corporation (Posta) and mobile network operator, Safaricom, to offer digitized postal office boxes.</li><li>MPost was selected to be part of the 10 startups from Africa in the 2023 Techstars cohort, a renowned accelerator program supporting promising startups.</li><li>MPost currently has 80,000 active users and 300,000 registered users across Kenya, Rwanda and Burundi.</li><li>In 2024, MPost launched e-P.O.Box in Rwanda in partnership with the national postal service i-Posita.</li><li>In 2024, MPost was featured in&nbsp;<a href="https://www.linkedin.com/posts/renew-capital_mpost-renewcapitalportfolio-globalstage-activity-7164248351763369984-MgL0?utm_source=share&amp;utm_medium=member_desktop">Times Square</a>.</li></ul><div class="raw-html-embed"></div><h2>Orientation Towards Growth</h2>In 2023 MPost relocated its headquarters from Nairobi, Kenya to Kigali, Rwanda, as part of its expansion strategy. Alongside its existing operations in Rwanda, Kenya and Burundi,&nbsp;<a href="https://kenyanwallstreet.com/mpost-partners-with-yobante-for-deliveries/">MPost forged a partnership</a> with Yobante Express, a delivery company, to extend its services into Zambia and other African nations. Additionally, MPost is actively exploring opportunities in North America to facilitate smoother e-commerce transactions between Africa and the continent.“MPost is addressing critical infrastructural gaps in Africa's postal services. This innovation not only enhances accessibility to essential services but also supports the e-commerce sector by enabling secure and reliable deliveries. As Africa continues to urbanize and digitalize, solutions like those which MPost offers are groundbreaking.” – Laura Davis, Managing Partner and co-CEO of Renew Capital.

Discover how MPost is transforming postal access in Africa by turning phone numbers into addresses.

Mpost 1.png

Why We Invested in MPost: Facilitating Universal Access to Postal Addresses in Africa

<h1>Why We Invested in BuuPass: Easing Intercity Travel Across Africa</h1><figure class="image"><img src="/uploads/IMG_2464_15e39b05ec.jpeg" alt="A photo of Renew Capital Angel investors posing alongside BuuPass founders at their office in Nairobi, Kenya."></figure>Over 30 million Africans rely on buses for inter-city and cross-border transportation daily, contributing to a $40B domestic transport industry annually. However, transportation systems in the region are underfunded and lack the necessary technology to operate efficiently. Historically, bus operators have relied on unreliable paper ticketing, which requires customers to appear in person and wait in long lines to purchase bus tickets. Furthermore, companies often oversell bus tickets because they lack a digital system to track the number of tickets sold, resulting in customers arriving on the day of their travel with a paid-for ticket in hand, but no seat available on the bus.&nbsp;<a href="https://buupass.com/">BuuPass</a> provides millions of travelers with ease and convenience through digital schedules, online bookings and streamlined intercity travel. BuuPass, operating on a B2B2C model, partners with transport companies by providing a platform that digitizes their ticketing and bus management to minimize overselling, increase asset utilization and increase convenience for their customers.Renew Capital invested in BuuPass because of its growth potential, strong founders and significant impact on easing transport challenges in Africa. Other investors in BuuPass include Founders Factory Africa, FrontEnd Ventures and Google for Startups Black Founders Fund.&nbsp;<figure class="image"><img src="/uploads/Whats_App_Image_2022_09_28_at_09_52_18_6ccec1449c.jpeg" alt="A photo of BuuPass founders being congratulated at a startup event."></figure>Photo courtesy of BuuPass<h2>Strong Founders</h2>BuuPass was founded in 2016 by&nbsp;<a href="https://ke.linkedin.com/in/soniakabra">Sonia Kabra</a> and&nbsp;<a href="https://ke.linkedin.com/in/wyclife-omondi-86054064">Wyclife Omondi</a>. Sonia, from India, and Wyclife, from Kenya, met during college in the U.S. They identified transportation as a significant challenge in their home countries and envisioned improving the sector through digitalization. Their innovative idea gained traction when they secured $1M in funding to bring their concept to the market through the Hult Prize award supported by President Bill Clinton. With visionary leadership, they are quickly establishing BuuPass as a key player in Africa’s transportation sector.<h2>Demonstrated Traction</h2>BuuPass’ key milestones include:<ul><li>Since launching first in Kenya and offering both domestic and international routes, BuuPass has sold over&nbsp;<a href="https://techcabal.com/2024/04/30/buupass-acquires-quickbus/#:~:text=Since%20launching%20in%202016%2C%20Buupass%20has%20sold%20over%206%20million%20travel%20tickets%20and%20generated%20over%20%24100%20million%20in%20ticket%20sales.%20The%20platform%20%E2%80%9Ccovers%20national%20and%20cross%2Dborder%20routes%20in%20East%20and%20Southern%20Africa%20and%20has%20served%20over%2016%20million%20passengers%2C%E2%80%9D%20the%20company%20said.">6 million travel tickets</a> and generated more than $100M in ticket sales.</li><li>BuuPass has strategic partnerships with African telcos and super apps like M-PESA. Through its partnership with the M-PESA app, a financial super app, it provides booking services to around 10 million Kenyans who use the mobile money app.</li><li>As of 2024, BuuPass has raised a pre-seed funding round of&nbsp;<a href="https://techcrunch.com/2023/02/13/buupass-raises-1-3m-to-scale-mobility-sector-digitization-in-africa/">$1.3M</a> from investors including&nbsp;<a href="https://www.renewcapital.com/newsroom/press-release-renew-capital-invests-in-buupass-a-kenyan-tech-transport-company">Renew Capital</a>, Founders Factory Africa, FrontEnd Ventures, Adaverse, Gullit, Five35, Changecom, XA Network, Ajim Capital, Artha Ventures, Daba Finance, Google Black Founders Fund and several angel investors.</li><li>In 2024, BuuPass made headlines when they announced an investment from veteran Silicon Valley investor&nbsp;<a href="https://techcabal.com/2024/02/28/buupass-secures-investment-from-silicon-valley-legend-tim-draper/">Tim Draper</a> after being selected to pitch for the African region on the show "Meet the Drapers." Tim Draper is known for funding major companies like Coinbase, Baidu, Tesla, Skype, SpaceX, Twitch and Hotmail.</li></ul><h2>Orientation Towards Growth</h2>BuuPass has expanded its presence across Africa by acquiring&nbsp;<a href="https://techcabal.com/2024/04/30/buupass-acquires-quickbus/">QuickBus</a> in 2024. This acquisition added international routes across 16 African countries, including Kenya, Tanzania, South Africa, Malawi, Nigeria, and Ghana. It also granted BuuPass access to the South African and Nigerian markets, supporting their expansion plans to&nbsp;<a href="https://disruptafrica.com/2024/05/20/kenyan-mobility-startup-buupass-plans-to-enter-8-new-african-markets-by-2025/">eight more countries</a> by 2025.&nbsp;"BuuPass is not only assisting transport operators in running more efficient businesses but also supporting a connected Africa. Efficient transportation is a crucial step in economic development, and BuuPass is an exciting part of the continent's transition." — Laura Davis, Managing Partner and co-CEO of Renew Capital.

Find out why Renew Capital invested in BuuPass and how it's enhancing intercity travel in Africa with digital ticketing solutions.

IMG_2464.jpeg

Why we Invested in BuuPass: Easing Intercity Travel Across Africa

<h1>Secrets of Kenya’s Momentum</h1>What a tenuous week to be in Nairobi. But this market is so much more than the current sad and complicated news coming out of Kenya related to taxes and youth demonstrations opposing the Finance Bill.&nbsp;Renew Capital has been a player in the Kenyan startup ecosystem for a few years now, with a great team of seven people. Stop by ABC Place, Waiyaki Way, 10th floor to visit our office and meet with the team. If you are an entrepreneur looking for financing for your asset-light, tech-enabled business check out the&nbsp;<a href="https://venturelab.renewcapital.com/">Renew Venture Lab and apply</a>.&nbsp;<figure class="image"><img src="/uploads/Whats_App_Image_2024_06_27_at_3_02_07_PM_3_f04d7feb7b.jpg" alt="Beautiful skyline view from the 10th floor of ABC Place, Waiyaki Way, Nairobi, showcasing high-rise buildings and lush green forested surroundings."></figure>Matt and I have flown down to Africa’s Silicon Savannah (Nairobi) from our home in Addis a number of times over the past 24 months, and every time it feels different. From bustling coworking spaces to a thriving entrepreneurial ecosystem, Nairobi is alive with a diverse set of increasingly mature founders who are tackling real-world problems with unique solutions. There are many examples to point to both successes and failures. And we have learned to appreciate how little we (and our Western investors) know about why this ecosystem is thriving.&nbsp;For one, I think M-Pesa is just a fascinating story. It started in Kenya as a way to help Microfinance Institutions (MFIs) get paid by customers who were in remote parts of Kenya who learned to use airtime minutes to trade things of value and blossomed into a revolutionary financing tool that has transformed the world.&nbsp;And we see new innovations emerging. This week we have seen many impressive entrepreneurs present their ideas and a few have that revolutionary feel to them.&nbsp;Here are some of our insights on the strength and potential of the Kenya ecosystem:<ul><li>The ecosystem is young and vibrant. The energy of the founders, their youthful zeal and their fresh ideas are unique to the other markets we have traveled to.&nbsp;</li><li>There is a large diversity of startups - we’re seeing edtech, fintech, healthtech, logitech, etc. The spectrum is larger here. And the founders are from all corners of Kenya and the world!&nbsp;</li><li>The industry is built on legends, like M-PESA. And the government is also more comfortable with innovation than what we’ve seen in other markets.&nbsp;</li><li>Nairobi is international - The UN, tourism and other factors have created an exceptional service industry and a very welcoming place for international investors to come in and out of.</li></ul>The startup ecosystem in Kenya is characterized by several features and trends:<ul><li>There’s a good amount of money here: Kenya has emerged as a leader in startup funding in Africa, raising $800 million in 2023 alone, which accounted for 28% of the total funding on the continent. This is a significant achievement, especially considering the economic challenges posed by global slowdowns and inflation​ (<a href="https://thefounder.africa/kenya-takes-the-crown-leading-the-big-four-in-african-startup-funding/">TheFounder</a>), (<a href="https://kenyanwallstreet.com/new-report-reveals-significant-growth-of-kenyan-startup-ecosystem-over-past-decade/">Kenyan Wall Street</a>).</li><li>Thankfully, the volume of pipeline is growing: The ecosystem is rich with diverse startups across various sectors including fintech, agritech, health tech and e-commerce. Kenyan startups are leading the way in leveraging technology to solve local problems and scale globally​ (<a href="https://startupstash.com/kenyan-startups">Startup Stash</a>), (<a href="https://thefounder.africa/kenya-takes-the-crown-leading-the-big-four-in-african-startup-funding/">TheFounder</a>).</li><li>The ecosystem is maturing: Kenya's startup ecosystem benefits from a robust network of innovation hubs, accelerators and incubators that provide mentorship, funding and networking opportunities. Institutions like iHub and programs like the Tandaa Grants have been pivotal in nurturing startups from inception to growth stages​ (<a href="https://vc4a.com/kenya/">VC4A</a>), (<a href="https://kenyanwallstreet.com/new-report-reveals-significant-growth-of-kenyan-startup-ecosystem-over-past-decade/">Kenyan Wall Street</a>).</li><li>The government is supportive: The Kenyan government has played a supportive role by implementing favorable policies and regulations that encourage entrepreneurship. Initiatives such as the Tandaa Grants and other supportive measures have been crucial in driving the growth of the startup ecosystem​ (<a href="https://kenyanwallstreet.com/new-report-reveals-significant-growth-of-kenyan-startup-ecosystem-over-past-decade/">Kenyan Wall Street</a>).</li><li>The tech infrastructure is solid: The growth of Kenya’s startup ecosystem is significantly driven by high mobile and internet penetration. The deployment of an underwater internet cable in 2006 and the subsequent rise of mobile phone usage have been instrumental in fostering digital innovation​ (<a href="https://africabusinessinsights.com/emerging-tech-landscapes-in-africas-startup-ecosystem-for-2024/">Africa Business Insights</a>), (<a href="https://kenyanwallstreet.com/new-report-reveals-significant-growth-of-kenyan-startup-ecosystem-over-past-decade/">Kenyan Wall Street</a>).</li><li>The talent pool is huge: A large portion of the startups are founded and operated by young entrepreneurs, reflecting a vibrant and innovative youth population. This demographic is key to the ecosystem's dynamism and resilience​ (<a href="https://vc4a.com/kenya/">VC4A</a>), (<a href="https://kenyanwallstreet.com/new-report-reveals-significant-growth-of-kenyan-startup-ecosystem-over-past-decade/">Kenyan Wall Street</a>).</li></ul>Look beyond the current headlines. Nairobi is a super vibrant ecosystem with a growing level of maturity. While South Africa and Nigeria are dusting themselves off from some hard times the Kenya Startup Ecosystem is still on the rise.&nbsp;In summary, Kenya's startup ecosystem strengths include attracting substantial investment each year, a well-developed cohort of diverse and innovative enterprises, strong support structures, and proactive government policies.It’s actually no secret that Kenya is a leading hub for entrepreneurship in Africa!Go Deeper on Kenya?<ul><li><a href="https://www.linkedin.com/posts/renew-capital_kenya-in-12-photos-activity-7212330742368894976-cAPG?utm_source=share&amp;utm_medium=member_desktop">Nairobi in 12 photos</a></li><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Kenya_Factsheet_da115e8c82.pdf">Kenya’s Startup Ecosystem Factsheet</a></li><li><a href="https://www.google.com/maps/placelists/list/GAmvN3pZHdikuLPqhZ1gTcdSxM01Ng">Nairobi Startup Ecosystem Google Map</a></li><li>See the Kenya Startups Ecosystem Timeline Below.&nbsp;</li></ul>Interested in other African Startup Ecosystems?&nbsp;<a href="https://www.renewcapital.com/newsroom/the-momentum-of-african-startup-ecosystems-in-a-snapshot">Download Renew Capital’s Ecosystem Factsheets on other Ecosystems</a>. We’ll be adding new ones every few weeks!&nbsp;Source:&nbsp;<a href="https://www.maitricapital.com/static/media/Understanding_The_Kenyan_Startup_Ecosystem_Report_Final.0f8b777030a052c19028.pdf">2023 UK-funded report by Kenyatta Univ and other partners</a>.

Explore Kenya’s dynamic startup ecosystem, including its vibrant fintech scene, diverse innovations and supportive environment fueling growth.

WhatsApp Image 2024-06-27 at 3.02.07 PM (1).jpeg

Secrets of Kenya’s Momentum

<h1>Why We Invested in Badili: Charting a Sustainable Digital Future through Recommerce</h1><figure class="image"><img src="/uploads/Renew_Capital_March202024_1893_1_815d22e05f.jpg" alt="An image of Badili founder holding a refurbished smartphone with team members at the Nairobi office, showcasing the company’s sustainable technology."></figure>Africa has undergone a transformative mobile phone revolution, yet the momentum of&nbsp;<a href="https://www.trustonic.com/opinion/what-are-the-barriers-to-smartphone-expansion-across-africa/">smartphone access</a> on the continent is still catching up. Concurrently, the environmental toll of smartphone production has become a pressing global concern, with production and manufacturing accounting for a staggering 80% of a smartphone's total carbon footprint. Recognizing the urgency,&nbsp;<a href="https://www.gsma.com/solutions-and-impact/connectivity-for-good/external-affairs/wp-content/uploads/2023/02/Strategy-Paper-Circular-Economy-Mobile-Devices.pdf">GSMA Intelligence</a> highlights that extending the lifespan of smartphones by just one year could mitigate up to 21.4 million metric tons of CO2 annually by 2030. Immediate action is imperative, and in this context, recommerce emerges as a pivotal force.To tackle this challenge the refurbished mobile device market is set to exceed $140B by 2030, experiencing a remarkable surge from $50B&nbsp; in 2020 according to GSMA. Badili, an East Africa-based company is leading the recommerce revolution in Africa by providing a platform where people can buy used and refurbished smartphones safely and affordably. Most of their devices cost less than half their original price and all come with a 12-month warranty.Renew Capital invested in Badili because of its growth potential, strong founders and significant impact.<figure class="image"><img src="/uploads/Renew_Capital_March202024_1838_8c1f592f3b.jpg" alt="An image of the Badili smartphone warranty cover details, explaining coverage and benefits for refurbished devices."></figure><h2>Strong Founders</h2>Badili, at the forefront of Africa's recommerce movement, was founded in 2022 by&nbsp;<a href="https://ke.linkedin.com/in/rishabh-lawania-15a74159">Rishabh Lawania</a> and Keshu Dubey. Initially concentrating on establishing a reliable platform for buying and selling pre-owned smartphones in Kenya, Badili has expanded its reach to Uganda and Tanzania. The inspiration behind the establishment of Badili stemmed from Lawania's witnessing a colleague facing legal consequences for inadvertently purchasing a stolen phone. As a result, the company is committed to providing safe and reliable used phones in Africa.Both founders have a wealth of experience in the technology sector. Before Badili, Rishabh and Keshu co-founded WeeMedia, a content-as-a-service platform for Africa, which operates WeeTracker.com, Gadgets-Africa.com, AfriCo and Xeler8, a deal-sourcing research platform.<h2>Demonstrated Traction</h2>Badili has established refurbishing centers in Kenya, Tanzania and Uganda, and is rapidly becoming a major player in the mobile device industry through strategic partnerships.<ul><li><a href="https://badili.ke/">In Kenya</a>, they have partnered with major ecommerce platforms including Jumia, Kilimall, Jamboshoppe and Carrefour. They also have payment partnerships with Absa and LipaLater.</li><li>In November 2023,&nbsp;<a href="https://www.techafricanews.com/2023/11/22/airtel-uganda-partners-with-badili-africa-to-offer-affordable-refurbished-smartphones-boosting-accessibility/">Airtel Uganda</a>, one of the country’s leading telecom companies, announced a collaboration with Badili to accelerate smartphone adoption and improve internet access for Ugandans.</li><li>In the same year, Badili was recognized as one of the&nbsp;<a href="https://www.linkedin.com/posts/badili-commerce_great-way-to-end-the-year-badili-was-listed-activity-7144662100068524033-wL9s?utm_source=share&amp;utm_medium=member_desktop">top 100 most innovative startups</a> by MyStartupAfrica.</li></ul><h2>Orientation Towards Growth</h2>In January 2024, Badili announced that it had raised a seed round led by E3 Capital through E3 Capital’s Low Carbon Economy Fund. This funding will enable Badili to expand into new markets beyond the East African region, ultimately contributing to the enhancement of Africa’s digital infrastructure."We invested in Badili because we see a unique opportunity and a strong founder. Badili provides refurbished consumer electronics that are in high demand and the business model is built on principles of circular economy and climate sustainability making it an exciting investment for Renew Capital. By supporting Badili, we are contributing to a sustainable digital future for Africa through recommerce." — Laura Davis, Renew Capital founder and co-CEO.

In this blog, explore why Renew Capital invested in Badili, a leader in Africa’s refurbished smartphone market.

RenewCapitalMarch202024-1893 (1).jpg

Why We Invested in Badili: Charting a Sustainable Digital Future through Recommerce

<h1>Why We Invested in Roam: Investing in Roam to Electrify Africa's Transport Sector</h1><figure class="image"><img src="/uploads/04_Roam_Charge_b552c764b5.jpg" alt="An image of a Roam electric bike owner at an EV charging station showing an electric motorcycle battery."></figure>Photo courtesy of Roam&nbsp;As a result of increasing urbanization and the subsequent reliance on fossil fuels,&nbsp;<a href="https://www.wilsoncenter.org/article/battle-earths-climate-will-be-fought-africa#:~:text=But%20Africa%E2%80%99s%20CO2%20output%20per%20person%20has%20been%20growing%20fast%E2%80%94much%20faster%20than%20its%20population.%C2%A0%C2%A0%20That%20is%20to%20be%20expected%20as%20increases%20in%20income%20and%20urbanization%20lead%20to%20higher%20per%20capita%20fuel%20and%20electric%20consumption.">Africa’s CO2 output</a> per person has been growing faster than its population. Furthermore, the risk of climate disasters disproportionately affects low-income countries. The need for clean transportation options to service Africa’s growing urban populations is therefore critical to mitigating the impact of climate change.&nbsp;Africa currently contributes&nbsp;<a href="https://tcc-gsr.com/wp-content/uploads/2023/08/2.1-Africa-Regional-Overview.pdf">less than 1%</a> to global vehicle production and heavily relies on used vehicle imports. The market for electric vehicles (EVs) on the continent has a promising growth potential. It is expected to reach&nbsp;<a href="https://www.fairplanet.org/story/africa-electric-vehicle-charging-station-startup/#:~:text=USD%2021.39%20billion%20by%202027%2C%20up%20from%20USD%2011.94%20billion%20in%202021.">$21.39B by 2027</a>, up from $11.94B in 2021 driven in part by the demand for electric buses and two and three-wheelers for public transport needs. However, the uptake of EVs has faced challenges due to underdeveloped infrastructure and electricity challenges in the region.&nbsp;To tackle these challenges, Roam Electric is building affordable and eco-friendly electric buses and motorcycles that are designed and manufactured in Africa. Furthermore, Roam Electric is building solar charging infrastructure in Kenya to address the electricity challenges.Renew Capital invested in Roam because of its strong founders, demonstrated traction and the company’s orientation towards growth.<figure class="image"><img src="/uploads/25_Roam_Rapid_1_4f43f34a83.jpg" alt="An image of a Roam Rapid electric bus that is cost-efficient and has zero tailpipe emissions."></figure>Photo courtesy of Roam&nbsp;<h2>Strong Founders</h2>Roam Electric, founded in 2017 by&nbsp;<a href="https://www.linkedin.com/in/filip-lovstrom?originalSubdomain=ke">Filip Lövström</a> and&nbsp;<a href="https://ke.linkedin.com/in/mikael-g%C3%A5nge-a7334317a">Mikael Gånge</a>, seasoned professionals in the energy industry, started as a research project at a Swedish university. Recognizing an opportunity in electric vehicles tailored for the African market, the company evolved its focus from&nbsp;<a href="https://techcrunch.com/2023/09/18/roam-move-ev-bus/#:~:text=Founded%20in%202017%20by%20Filip%20L%C3%B6vstr%C3%B6m%20and%20Mikael%20G%C3%A5nge%2C%20Roam%20previously%20specialized%20in%20auto%20conversions%2C%20before%20moving%20to%20electric%20vehicle%20production.">conversions</a>. After rigorous development, Roam Electric now produces electric motorcycles and buses, designed especially for emerging markets, with Kenya as its initial target.These vehicles offer significant carbon emission reductions, with electric motorcycles&nbsp;<a href="https://www.roam-electric.com/about">cutting emissions</a> by over 90% and electric buses by 80%. Roam Electric's commitment to sustainability garnered it recognition as a finalist for the prestigious&nbsp;<a href="https://earthshotprize.org/winners-finalists/roam/">Earthshot Prize</a> in 2022.The company's core mission is to provide sustainable transportation solutions for African markets, where reliance on public transportation is widespread.&nbsp;<h2>Demonstrated Traction</h2>Roam Electric has three main products designed to suit the East African market.&nbsp;<ul><li>The Roam Rapid Electric Bus has a range of over 360 kilometers (224 miles) and can seat up to 90 people. It is designed to carry passengers along major corridors and on routes such as airport transfers.&nbsp;</li><li>The Roam Move Electric Bus is a smaller bus designed to compete with the traditional&nbsp;Matatu.&nbsp;&nbsp;</li><li>The Roam Air is an electric motorcycle adapted for the local market, characterized by a dual battery with a 180 km (112 miles) range. It can be charged freely in any outlet where a phone can be charged, without infrastructure dependency. In July of 2023, Roam opened a plant in Nairobi with the capacity to produce&nbsp;<a href="https://cleantechnica.com/2023/07/25/president-of-kenya-william-ruto-inaugurates-roam-park-east-africas-largest-electric-motorcycle-assembly-plant/">50,000</a> bikes a year.</li><li>Roam Hub -&nbsp;Roam currently has&nbsp;<a href="https://cleantechnica.com/2024/04/18/roam-teams-up-with-quickmart-to-introduce-roam-hub-charging-stations-for-electric-motorcycles-in-kenya/">four active</a> Roam Hub charging stations spread out within Nairobi.</li></ul><h2>Orientation Towards Growth</h2>Roam raised $24M in a Series A round, including an up to $10 million debt commitment from the U.S. International Development Finance Corporation (DFC), to scale the production of electric motorcycles and buses. Equator, an Africa-focused climate tech venture capital fund, led the round. Other investors in the round include One Ventures, TES Ventures, The World We Want, One Small Planet and Renew Capital.Roam and County Bus Service are planning to introduce&nbsp;<a href="https://www.roam-electric.com/post/roam-and-county-bus-service-partner?s=09">10 CBS electric buses</a> by the end of 2024, and 200 CBS electric buses across Kenya by the end of 2026. Roam Electric has also partnered with various companies, including&nbsp;<a href="https://kenyanwallstreet.com/bolt-to-lease-motorbikes-from-roam-ampersand/">Bolt</a>, which offers ride-hailing, micromobility rental, food and grocery delivery, and car-sharing services. Bolt's courier riders can purchase an electric motorbike at an affordable rate through the financing company MKOPA.&nbsp;“We invested in Roam Electric because of its potential within the electric vehicle sector on the continent. Roam is focused on offering affordable EVs, but they have an eye for quality, which we found rare relative to alternatives. I, for one, love driving my Roam motorcycle around Kigali. Furthermore, the founders of Roam bring considerable experience from the energy industry to the table, and we are proud to support their vision.” — Matt Davis, founder and co-CEO of Renew Capital&nbsp;

Discover why Renew Capital invested in Roam to electrify Africa’s transport sector with affordable, eco-friendly buses and motorcycles.

04_Roam_Charge.jpg

Why We Invested in Roam: Investing in Roam to Electrify Africa's Transport Sector

Renew Capital has a presence in 14 African countries. We aim to provide insight into Africa's startup scene, along with the opportunities and challenges it presents through a series of blogs from our in-country team. If you share our passion for developing entrepreneurship in Africa, we invite you to check out our&nbsp;<a href="https://www.renewcapital.com/careers">open roles</a>.&nbsp;<h1>How a&nbsp;Passion for Sustainability and Investing in Africa led Lucas Robinson to Renew Capital</h1>Welcome to the 'Journey to Renew Capital' Q&amp;A featuring Lucas Robinson, Renew Capital’s principal of consulting, currently based in Nairobi, Kenya. Lucas has previously lived and invested in Ethiopia and Zimbabwe. With extensive experience in international development and entrepreneurship, Lucas is passionate about sustainability and brings this passion to our projects and investments. In our conversation, we explored his thoughts on the transformative potential of investing in Africa, as well as his vision for the future of African ventures.<figure class="image"><img src="/uploads/1702462420761_37868eaad6.jpeg" alt="Photo of Renew Capital’s Principal Consultant with Kenya's Canadian High Commissioner and founders of Roam Electric, a Renew Capital portfolio company, at their EV manufacturing plant in Nairobi."></figure>From left to right: Mikael Gånge (Roam), Hanif Pabani (Global Affairs Canada), Christopher Thornley (Canadian High Commissioner to Kenya), Lucas Robinson, Esther Mwikali.Thank you for taking the time to sit down and talk with us. We're eager to learn more about you. Please share something about yourself with our readers.Where to begin? I was born and raised outside Ottawa, Canada. My first job was delivering newspapers to my neighbors on Wednesday evenings after school when I was 12. The “Manotick Messenger.” Everything else kind of follows from there.You've navigated through various roles in your career, showcasing a diverse set of skills and experiences. Despite this diversity, is there a common thread that ties your professional journey together?Yes, my friends often make fun of my LinkedIn page. I think sustainability is a strong theme in my work and something that has been coming from different angles for a long time.&nbsp;How does sustainability feature - practically speaking - in the work that you do now, with your team at Renew Capital?It’s a critically important theme for us. We’ve done several trainings on this theme for companies from across the continent. We’ve also recently integrated sustainability metrics into our investment contracts; as far as I know, we’re one of the only venture capital firms in Africa that actively encourages investees to&nbsp;reduce the accrued interest of our investment by helping them to measure and meaningfully reduce their environmental impact. We’ve done the same on gender metrics - which is also awesome!&nbsp;Given your extensive experience spanning over 20 years in investing in and managing businesses and projects in frontier markets, how has this influenced your belief in the transformative potential of investment in Africa?Yeah, I guess you could say I’m a believer. Partly born out of the frustration I felt in the early part of my career in the international development space. I think there are some great people in that industry, and I think that there have been some really important&nbsp;<a href="https://www.bond.org.uk/news/2020/08/farewell-to-dfid-10-key-achievements-from-the-last-23-years/">wins</a> that too often get overlooked by folks, but on balance, it wasn’t right for me. I wanted to have a different kind of impact, and I could see that the private sector was playing a really important role in this regard.&nbsp;So I started building and investing in startups on the continent. Some have done well, leading to hundreds of jobs, a reasonable financial return and lasting positive environmental impact. Others less so. That’s the nature of these things.&nbsp;Looking ahead, what aspirations or goals do you have for your continued involvement in African ventures and how do you envision contributing to their growth and development in the future?Renew Capital has afforded me a wonderful opportunity to meet hundreds of entrepreneurs from across the continent and in some cases to see their companies take off. I’m really happy playing a small part in that, as part of our internal Investment Committee and as one of the many people that’s working to build our entrepreneur training programs. It’s really rewarding work, and I look forward to continuing with that in even more countries as we work to expand our company footprint across the continent.&nbsp;