Treepz, a Nigerian shared mobility business, has raised $2.8 million in a seed round and expanded to Uganda with the acquisition of bus firm Ugabus.
As part of its pan-African development, the business received US$1.2 million in seed capital and announced the acquisition of Ghanaian startup stabus earlier this year.
With further funding from Google for Startups Black Founders Fund Africa, Japanese VC company Uncovered Fund, and Dubai-based VCs such as Blanford Capital and Jonomi Capital, it has now raised a total of US$2.8 million, bringing its seed round to a total of US$2.8 million. Jedar Capital, a fund located in Egypt, also took part in the round with follow-on investments from existing investors.
Treepz is a digital platform that allows passengers to book daily rides along pre-determined itineraries.
Treepz’s CEO and co-founder, Onyeka Akumah, said the cash would be used to rapidly expand the company’s on-demand ride-sharing and intercity bus ticketing services in Africa. This is already happening, with Uganda’s Ugabus becoming the company’s second acquisition of the year.
Ugabus, which was founded in 2016, now has 70% of all bus operators in the East African country on its network, which has built-in mobile money technology for easy payments.
Treepz pleased Takuma Terakubo, CEO and general partner of Uncovered Fund, with its “amazing traction” in the second half of the year, and the startup was positioned for much more growth, according to Terakubo.