Moove raise $30m from sukuk offering for UAE expansion
The Moove mobility fintech company in Nigeria has raised $30 million to increase its fleet of electric vehicles in the MENA region. The money came from a debut sukuk offering that Franklin Templeton Investments (ME) Ltd. coordinated.
The successful closing of this company’s first sukuk will give Moove access to the vast pool of Islamic investors who are especially keen on making investments that are socially and environmentally responsible. It will also undoubtedly open up new financing options for Moove’s ambitious expansion plans.
As a sukuk al- istisna, a Shari’ah-compliant contract for the purchase of EV manufacturing, the issuing of the Shari’ah-compliant notes, or “sukuk,” has been privately deposited and arranged. This financing, which builds on Moove’s successes, marks an important turning point and demonstrates the viability of the company.
“This financing is a significant milestone for Moove since it is our first sukuk issuance, which demonstrates our sustainability and expansion as a multinational firm. The fact that this advances our goal of developing the largest EV ride-hailing fleet in the area, advancing mobility electrification, and making it possible for cities to achieve their net-zero goals is also significant. Co-founder and co-CEO of Moove, Ladi Delano, said:
In order to accelerate the electrification of mobility and improve the ride-hailing passenger experience in the region, Moove will use the funding to scale to 2,000 EVs in the UAE over the next year. To assist cities like Dubai fulfill their climate goals, Moove predicts that this fleet of electric vehicles will reduce carbon dioxide emissions by more than 5,000 metric tonnes annually.
Moove will release its EV charging app, Moove Charge, as part of its launch in the UAE. The first end-to-end charging experience and full EV charging network app designed particularly for ride-hailing drivers, Moove Charge first debuted in London in August.
Users can search for charging stations, see charging stations that are compatible with their car, see charging stations’ availability in real-time, filter by charging speed, start and stop charging, and utilize the wallet feature. As part of its goal to making sure that at least 60% of the vehicles it finances worldwide are electric vehicles, Moove is collaborating with value chain partners in the MENA region to speed up this transition in areas with sparse charging infrastructure.
Following a year of strong growth and expansion for the company, Moove has entered the UAE. In August, Moove made its debut in Europe by introducing a 100% EV rent-to-buy strategy in London. In order to contribute to the development of sustainable employment prospects in the emerging economy, the company also started in India. In its first year, it would roll out 5,000 CNG and EV vehicles across Mumbai, Hyderabad, and Bangalore.
