Dodai raises $13 million Series A for Ethiopia battery swapping

Dodai has raised a $13 million Series A, made up of $8 million in equity and $5 million in debt, Launchbase Africa reported on 28 April. British International Investment, the UK development finance institution, is named as a backer. A Japanese group joined it: Value Chain Innovation Fund, UTokyo Innovation Platform Co., Nagase & Co., Persistent ACV Fund, For Seasons, CBC Co. and Inclusion Japan.

What Dodai does

The company assembles electric motorcycles in Addis Ababa and runs a battery swapping network, where riders exchange a depleted battery for a charged one. It targets commercial riders such as delivery drivers and motorcycle taxi operators. Founder and CEO Yuma Sasaki previously helped found Luup, a Tokyo e-mobility startup.

Traction

Dodai has deployed more than 2,000 electric motorcycles and employs about 100 people, 97% of them Ethiopian. It says riders who switch from petrol bikes cut fuel and maintenance costs by 80 to 90%.

Plans

Over the next 12 months the company wants 3,000 active swapping users and 30 stations in Addis Ababa. Within three years it targets 30,000 users and 1,000 stations in the capital. Expansion to Abidjan, Kinshasa and Accra is planned, but conditional.

At a glance

• Company: Dodai
• Raised: $13 million
• Round: Series A, $8 million equity and $5 million debt
• Investors: British International Investment and a Japanese consortium
• Based in: Addis Ababa, Ethiopia
• Markets: Ethiopia, with Abidjan, Kinshasa and Accra planned
• Key figure: More than 2,000 electric motorcycles deployed