A Kenyan battery-as-a-service (BaaS) startup Arc Ride, has secured a $5 million (KES 645 million) commitment from the International Finance Corporation to support its regional expansion, reflecting growing investor interest in e-mobility and climate solutions in East Africa.
The IFC backing comes ahead of Arc Ride’s planned Series A round, which the company intends to use to expand its battery-swapping infrastructure and deepen partnerships with local electric mobility operators across the region.
“IFC proposes an equity investment of up to $5 million to support Arc Ride’s Series A financing round, which aims to scale network density and service capacity in Kenya; support expansion into new markets across Africa, and strengthen technology capabilities through R&D and upgrades to internationally compliant standards,” the IFC said in its disclosures.
Founded in 2019 by Joseph Hurst-Croft, Arc Ride is betting that its BaaS model is the fastest way to push electric motorcycles into the mainstream by separating the battery from the bike purchase. Riders buy motorcycles without the costly battery, then swap depleted batteries for fully charged ones at Arc Ride stations, turning a high upfront cost into a manageable daily operating expense.
To make swapping convenient, Arc Ride has installed battery cabinets in everyday locations like petrol stations, small shops, and warehouses, a strategy that has attracted growing attention from global climate financiers.
The IFC commitment follows previous investments: British International Investment (BII) provided $5 million in debt in early 2025, and Mirova International extended $10 million in five-year debt financing in September 2025 to fund new swapping stations and battery purchases.
The IFC investment is expected to further de-risk Arc Ride for private investors. Its long-term capital and board-level involvement aim to strengthen the company’s fundraising prospects while helping it meet higher environmental and social standards requirements increasingly important for global climate-focused financiers.