American billionaire Ronald Lauder through Pan African Investment Company (PIC) funds an undisclosed amount in convertible debt to Kenyan car manufacturing startup Mobius to produce Africa's cheapest car.
In a statement released by Mobius Motors, Dana Reed CEO of PIC shared PIC is pleased to be working with Mobius to help create value in the company while driving job growth and entrepreneurism in Kenya."
The new proceeds will go towards the first 50 units of Mobius II vehicles before the year ends and also the establishment of a distribution network. They also plan to allocate funds to devleoping a concept for their next line of Mobius III vehicles scheduled for release by 2016.
"Mobius is re-imagining the car for Africa's mass market and we are thrilled to gain the support of visionary investors such as PIC who see the social and commercial potential of our products across the continent" Founder & CEO of Mobius Motors, Joel Jackson said.
Mobius projects that its Mobius II will sell at Sh870,000 ($10,000), a price Jackson believes would appeal to business owners who need affordable transportation. New models in Kenya usually cost upwards of Sh2 million ($23,000).
PIC identifies their mission to identify, invest and provide solutions that affect the growth and development in sub-Saharan Africa. As part of the deal terms, Reed will join the board of directors on Mobius.
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