British International Investment

BasiGo Inc.

East AfricaInfrastructure

BasiGo is an e-mobility company bringing the future of clean, electric public transport to sub-Saharan Africa. Headquartered in Nairobi, Kenya, the company offers state-of-the-art electric buses along with charging and maintenance services for public service bus operators. BasiGo makes electric buses affordable to operators through an innovative financing model called “Pay-As-You-Drive”. In 2022, BasiGo became the first company to introduce electric buses into passenger operations in Kenya and has recently started operations in Rwanda.

Impact information

Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.

What?

Impact

How?

Primary Secondary

Catalysing markets: The successful expansion of BasiGo in Kenya will demonstrate the commercial viability of the “Pay-As-You-Drive” business model and increase e-mobility uptake. In the long run, this is likely to attract more players and accelerate the adoption of electric vehicles for public transportation in East Africa.

Who?

Stakeholder Geography Characteristics
Planet

Kenya

Customers – bus operators/entrepreneurs

Kenya

Contribution/additionality

Contribution/additionality

Financial additionality: Our contribution is driven by financial additionality where we are confident that debt capital is not available for early-stage companies such as BasiGo in East Africa and there is limited commercial interest in this opportunity.

Risk

Execution Risk

Risk that BasiGo is not able to scale as intended due to challenges raising capital, the nascency of the sector, challenges to effectively engage SACCOs, limited uptake of electric buses and potential lobbying efforts by diesel bus manufacturers. Mitigant: There is a strong customer preference for electric buses and long-term savings to bus owners, who are likely to continue adoption.

Unexpected Impact Risk

Risk of increased occupational health and safety risks e.g. battery fires. Mitigant: This risk will be monitored through the ESMS.

Environmental and social information

  • Environmental and social summary

    A high-level description of the environmental and social aspects of the investment. This may include a summary of key environmental and social risks identified during environmental and social due diligence (ESDD); key elements of an environmental and social action plan (ESAP); or ways in which we plan to support the investee improve environmental and social standards, such as through their environmental and social management system (ESMS); as well as any other priority areas agreed with the investee.

  • Environmental and social risk

    A risk category rating, which indicates the level of environmental and social risk associated with an investment. For an explanation of the categorisations used, see here. We consistently provide an environmental and social risk category for all investments screened from 2023 onwards.

Environmental and social summary

We are working closely with Basigo to strengthen its Environmental and Social Management System (ESMS), in order to address key risks such as supply chain, safeguarding and occupational health and safety (including road safety) associated with EV Bus transport operations

Environmental and social risk

Medium-Low

Reporting and Complaints Mechanism

The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.

For any other general enquiries contact us at [email protected]

  • Key facts

    First published

    When the investment was first published on the website database.

    :
    January 2024
    Last updated

    When the last quarterly update of the website database occurred.

    :
    June 2024
    Project number

    An identifier number shared by investments in the same project.

    :
    D6391
    Status

    The current status of the investment (green flag for active and red flag for exited).

    :
    Active
    Region

    The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.

    :
    East Africa
    Sector

    We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.

    :
    Infrastructure

    We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.

    For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.

    For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.

    For direct equity investments, this is the date at which British International Investment exited the investment.

    For debt investments, this is the date at which the final debt repayment was made.

    For funds, this is the date at which the fund was terminated.

    For underlying fund investments, this is the date at which the fund manager exited the investment.

    The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.

    For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.

    The currency in which the investment was made.

    Investment type :
    Debt
    Amount :
    $5m
    Currency of investment :
    USD
    Domicile

    The company or investment fund’s place of incorporation.

    :
    Kenya
    Climate finance

    Indicates whether the investment is climate finance qualified or partially climate finance qualified and the type of climate finance (adaptation, mitigation or both). We define climate finance using the multilateral development bank (MDB) and the International Development Finance Club (IDFC) Common Principles climate finance methodology. See Common Principles for Climate Mitigation Finance Tracking and Common Principles for Climate Change Adaptation Finance Tracking. We provide the climate finance qualification and type for commitments from 2020 onwards, which is when we launched our Climate Change Strategy.

    :
    Fully qualified
    Climate finance type:
    Mitigation

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