Mobius Motors, the Kenyan automaker celebrated for its no-frills, rugged vehicles designed for the challenging terrains of Africa, has been acquired by Silver Box, a Middle East-based investment firm. The move offers a potential lifeline to the Nairobi-based manufacturer, which has faced significant financial headwinds in recent years, culminating in near-closure.
Silver Box, describing itself as specializing in “driving businesses forward through intelligent investment, expert corporate management and advance technology,” announced the acquisition on Tuesday. In a press release, the company painted an optimistic picture, proclaiming a “bold new chapter” for both Mobius and Kenya’s automotive industry. Silver Box stated its commitment to continuing the “legacy of the Kenyan manufactured automobile,” confirming the reopening of Mobius’s service center and plans to resume full production of the Mobius 3 model by July 2025. Ambitious targets were also set, with a new 4×4 off-road SUV model slated for launch by December 2025.
The announcement comes after a period of considerable uncertainty for Mobius Motors, founded over 14 years ago by British entrepreneur Joel Jackson with the vision of creating affordable, durable vehicles for the African market. While Mobius vehicles, particularly the latest Mobius III model, have garnered attention for their robust design and lower price point compared to imported SUVs, the company has struggled to achieve financial stability.
Financial documents reviewed by Launch Base Africa reveal a complex financial picture. While Mobius had managed to eliminate its short-term liabilities by September 2024, becoming “debt-free” in that regard, significant long-term liabilities of over £13 million remain. Balance sheets indicate that while fixed assets, including its Nairobi production facility, remained robust at over £24 million, current assets — readily available cash and inventory — had dwindled to a mere £8,876, down from £24,827 the previous year. This stark reduction highlights the severe liquidity challenges that have plagued the automaker.
Despite these challenges, Mobius retains a positive net asset position of nearly £11 million, underpinned by its tangible assets and ongoing contracts. This underlying value appears to have been a key factor in attracting Silver Box’s interest.
Alongside the acquisition announcement, Silver Box unveiled a leadership transition at Mobius. John Kavila, described as possessing “extensive expertise in Manufacturing, operations, and Customer Service,” has been appointed as Chief Operating Officer (COO). Outgoing CEO, Nicolas Guibert, who oversaw Mobius’s operations during a particularly turbulent period, expressed confidence in Silver Box’s vision. In a statement, Guibert lauded Silver Box’s offer as “the best choice” among three bids, emphasizing their commitment to “ensuring the continuity of Mobius” and driving its future growth.
Kavila himself struck an optimistic tone, stating his honour to lead “a company renowned for its bold and innovative approach in creating a truly unique Kenyan brand.” He pledged to build on Mobius’s existing foundation, focusing on “expanding market share and increasing accessibility for Kenyan consumers.” Significantly, Kavila also stressed that “preserving and enhancing the Mobius brand was a key factor in this acquisition,” suggesting a commitment to maintaining the company’s core identity and mission.
Mobius Motors carved a niche for itself in the Kenyan automotive market by offering vehicles designed to withstand demanding conditions at a more accessible price point. The Mobius III, for example, retails for approximately $43,000, significantly less than imported competitors like the Toyota Land Cruiser Prado or Land Rover Defender. This has made Mobius vehicles attractive to small and medium-sized enterprises (SMEs) in sectors such as agriculture, infrastructure, and supply chains operating in remote areas of Kenya and potentially across the East African region.
The acquisition by Silver Box could be a pivotal moment not only for Mobius but also for Kenya’s aspirations to develop a robust domestic automotive manufacturing sector. Mobius is one of the few remaining Kenyan-owned car manufacturers, and its struggles have been closely watched by industry stakeholders and the Kenyan government. Discussions earlier this year between Mobius and government bodies like the Ministry of Trade and Industry and the Kenya Association of Manufacturers (KAM) underscore the perceived importance of Mobius to the national economy.
Silver Box’s investment injects much-needed capital into Mobius, potentially enabling the company to address its lingering long-term debt and invest in crucial areas such as research and development, expanded production, and a strengthened distribution and service network. The existing partnership between Mobius and Chinese automaker BAIC, which facilitated the launch of the Mobius III, also presents a valuable platform for future product development and technological transfer under the new ownership.
While the acquisition offers a glimmer of hope for Mobius Motors, significant challenges remain. The Kenyan automotive market, while showing growth potential, is also competitive and faces challenges related to import competition and economic fluctuations.
Industry analysts will be closely watching how Silver Box leverages Mobius’s existing assets, including its Nairobi production facility — equipped for frame fabrication, assembly, painting, and R&D — and its established brand in the Kenyan market. The promise of new models and expanded production hinges on Silver Box’s ability to implement effective strategies and navigate the complex dynamics of the African automotive landscape.
The acquisition of Mobius Motors by Silver Box represents a potentially transformative moment for the Kenyan automaker and the broader industry. Whether this Middle Eastern investment can truly unlock Mobius’s potential and solidify its position as a major player in the African automotive market remains to be seen. However, the deal undoubtedly provides a much-needed injection of optimism and a chance for Mobius Motors to steer away from the brink and onto a more sustainable road to success.