Ghanaian energy technology company Kofa has secured $8.1 million in a pre-Series A funding round to expand its battery-swapping network across urban Africa. The investment underscores growing investor confidence in Africa’s renewable energy sector as demand for cleaner and more efficient power solutions rises.
The funding round includes $3.25 million in equity, $4.315 million in debt, and $590,000 in grants, co-led by Kenya-based E3 Capital and Ghana’s Injaro Investment Advisors. Other contributors include the Shell Foundation and the UK Government’s Transforming Energy Access (TEA) platform, alongside notable European investors such as Richard Thwaites, founder of Penso Power.
Kofa, founded in 2022, operates a battery-swapping service that provides clean energy for motorcycles, households, and small businesses. The company’s AI-powered platform manages battery distribution, optimising energy flow while reducing costs for users.
Andrew Darge, E3 Capital’s lead on the transaction, said: “Having invested in Africa for over a decade, we have seen the evolution of the continent’s distributed renewable energy sector — particularly in electric mobility and battery technologies. Kofa stands out by building not just a product but an entire ecosystem that drives capital efficiency and creates a compelling commercial opportunity for clean energy adoption at scale.”
The new funding will support Kofa’s expansion into additional cities in Ghana and Kenya, while enhancing its AI-driven battery management system. The company currently processes over 200 battery swaps daily, with a 99% success rate and an average swap time of under two minutes.
Kofa’s model goes beyond battery swapping — it integrates local manufacturing partnerships and collaborates with firms like TailG to produce electric motorcycles tailored to African consumers. The company’s smart battery system tracks usage patterns, predicts demand, and ensures efficient energy distribution.
Erik Nygard, CEO and Founder of Kofa, said: “This funding validates our vision to transform urban Africa’s energy landscape. The shift to cleaner energy is not just about sustainability — it drives real economic impact. But for this transition to succeed, multiple elements must align, from technology to infrastructure.”
In 2024, the Shell Foundation and TEA backed Kofa’s Ghana expansion, e-bike financing, and research into the impact of its multi-use battery technology.
Jonathan Berman, CEO of Shell Foundation, noted: “We support solutions that raise incomes while lowering emissions. Kofa’s technology has significant scaling potential, and this fundraise will accelerate its expansion into new cities and markets.”
Kofa’s latest funding highlights the increasing momentum behind Africa’s renewable energy transition. As the continent seeks to reduce reliance on fossil fuels and meet growing power demands, innovations like battery-swapping networks are emerging as key enablers of sustainable development.
With strong investor backing and a proven operational model, Kofa is positioning itself as a major player in Africa’s push toward a cleaner energy future.