DRC – Persistent, an investment firm, has invested in Altech, a solar and e-mobility company in the Democratic Republic of Congo (DRC).
With the investment, Altech will establish its first e-mobility service centers in Goma, enhancing the infrastructure and operating environment for e-mobility.
The centers will serve as one-stop shops for Altech e-motorcycle riders, featuring charging and battery swapping stations and maintenance facilities. It will also provide secure storage for e-motorcycles, further simplifying the operational aspects for moto-taxi drivers.
Founded in 2013, Altech has created a sales and distribution network with a national footprint. It counts 4,500 employees and sales agents and covers over 140 shops across 22 out of 26 provinces in the DRC.
It has positively impacted the lives of more than 1.7 million Congolese by selling over 350,000 solar energy products.
“The e-moto taxi market represents a tremendous opportunity to move the DRC forward in the transition to renewable energy,” said Washikala Malango, co-CEO of Altech.
“Altech tested its e-mobility business model carefully around the country before preparing to launch our e-mobility business. We are excited about the full-scale launch of our e-mobility business and are grateful for Persistent’s continuing support.”
The DRC represents a substantial market opportunity for e-mobility. In 2020, an estimated 2.3 million motorcycles were registered in the country, 90% of which were used as moto-taxis.
Recognizing a market potential of 200,000 bikes annually, Altech offers a transformative solution with its e-motorcycles, providing a sustainable and economically viable alternative for riders.
Altech has proven its business model, offering daily rentals to moto-taxi drivers, including insurance, maintenance, and free charging services for a single fee. This service significantly lowers the daily operating costs for moto-taxi drivers, improving their daily net margin by up to 50%.
“We continue to be impressed by the Altech team as they take their proven success in solar energy to expand their work into the e-mobility sector,” Persistent partner Chris Aidun, who serves as a director of Altech’s board, said.
“The DRC can be a leader in e-mobility for moto-taxis in Africa, and we expect Altech to be the engine that drives that leadership forward.”
In 2023, Altech Group raised US$18 million in debt financing and grants to continue strengthening its market position and expand access to energy across the country.
The growth capital announced would enable Altech to open more than 30 new sales outlets in rural areas without competition and distribute 180,000 solar products, extending clean, reliable energy access to 900,000 people.
The Energy Entrepreneurs Growth Fund (EEGF) Triple Jump and Rabobank provided debt financing mainly through separate facilities.
At the same time, Altech received additional support from Social Investment Managers & Advisors (SIMA Funds), SIDI (Solidarité Internationale pour le Développement et l’Investissement), Kiva, Whole Planet Foundation, and EquityBCDC.
The grants were provided by Creating Hope in Conflict: a Humanitarian Grand Challenge and ANSER RDC.
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