Africa: GoCab Raises $45m to Scale Mobility, Credit Platform in Africa

London-based mobility and financial services platform GoCab has raised $45 million in new financing, split between $15 million in equity and $30 million in debt, as it steps up expansion across Africa.

The equity round was led by E3 Capital and JANNGO Capital, with participation from KawiSafi Ventures and Cur8 Capital. The debt portion was provided by Cur8 Capital and other lenders. As part of the transaction, Vladimir Dugin of E3 Capital and Fatoumata Bâ of Janngo Capital will join GoCab's board.

GoCab provides a fintech-driven mobility platform that enables ride-hailing and delivery drivers to acquire vehicles through Shariah-compliant financing. Drivers make daily payments and can fully own their vehicles within about three years. The platform also allows drivers to track ownership progress and manage payments digitally.

The company operates in five countries, including Côte d'Ivoire, Senegal, Morocco, Chile, and Nigeria, and employs about 120 people. GoCab says it generates more than $17 million in annual recurring revenue and has financed over 1,000 vehicles since launch.

The new funds will be used to expand into new African cities, increase the share of electric vehicles in its fleet, and develop AI-based credit scoring and risk management tools.

Key Takeaways

GoCab's funding highlights growing investor interest in asset-backed fintech models tied to employment. Unlike pure lending startups, the company combines vehicle financing, maintenance, and mobility platforms, reducing credit risk by linking repayments directly to driver income. The drive-to-own model is already proven in Africa, but GoCab's focus on transparency, in-house maintenance, and direct sourcing from manufacturers aims to protect margins and limit abuse that has hurt similar schemes in the past. Its decision to push for profitability early also sets it apart in a sector often dependent on subsidies. The planned expansion into AI-driven credit tools and buy-now, pay-later services shows a shift toward becoming a broader financial platform for gig workers. If executed well, this could deepen customer relationships and unlock new revenue streams. The challenge will be regulation and scale. GoCab still relies on licensed partners and must secure its own regulatory approvals to expand credit offerings fully. Success would position it as a key player at the intersection of mobility, fintech, and job creation in African cities.

Read the original article on Daba Finance.