- GuarantCo in partnership with Societe Generale will provide an up to USD 63 million financing solution, with a first tranche of USD 35 million), to support the financing of Spiro’s fleet of electric motorbikes as well as the associated batteries and swap stations in Benin and Togo.
- The funding comprises a 70 percent partial credit guarantee from GuarantCo and a borrowing base facility provided by Societe Generale.
E-mobility in Benin and Togo, and Africa in general, is still in its nascency but will offer huge benefits once the electric motorbike model has scaled up. This transaction will directly contribute to addressing the challenge of providing affordable, clean vehicles in Benin and Togo, and is expected to transform the market through wider demonstration and replication effects. The Spiro project is specifically targeted at motorbike taxi drivers of which there are an estimated 400,000 in Benin and Togo.
Spiro is looking to deploy at least 15,700 clean electric motorbikes with 31,400 electric batteries and more than 1,000 swap stations in addition to their existing operational fleet of 5,706 vehicles and around 130 swap stations. Through the project, up to 100 jobs will be created for the installation of charging stations and technical support, while an additional 3,710 operations and maintenance jobs are expected. Spiro is aiming to have a minimum of 30 percent women in their workforce including engineers, managers and technicians whilst providing technical and leadership programmes to enhance their skills. It is estimated to deliver a 96kt C02 equivalent reduction of greenhouse gas emissions so urban communities in particular will benefit from reduced air pollution as internal combustion engines are replaced.
Author: Bryan Groenendaal