Just days after Mobius Motors, the Kenya-based automaker known for its budget-friendly SUVs, announced its voluntary liquidation, a mystery buyer has emerged to acquire the company, potentially breathing new life into the troubled firm. The unexpected turn of events comes after nearly a year of unsuccessful attempts to save the company from financial collapse.
In a memo signed by Nicolas Guibert, Director of Mobius Motors Kenya Ltd, it was revealed that the undisclosed buyer has agreed to purchase 100% of the company’s shares. The deal, which was accepted on August 14, 2024, is expected to be finalized within the next 30 days.
“Mobius Motors has accepted a bid for the acquisition of 100% of its shares by an undisclosed buyer. Both parties are looking to close the transaction within 30 days,” the memo stated.
The announcement has postponed a creditors’ meeting that was initially scheduled for August 15, 2024, as the company works out the details of the acquisition. Creditors have been advised to await further communication regarding a new meeting date.
Mobius Motors, founded in 2009 by British entrepreneur Joel Jackson, aimed to provide affordable and rugged vehicles tailored to the challenging conditions of Africa. In 2014, the company launched a low-cost SUV priced at approximately $10,000 (KES 1.3 million), designed to meet the needs of small and medium-sized enterprises (SMEs) operating in sectors such as infrastructure, agriculture, and supply chains in remote areas.
Despite raising $56 million across five funding rounds, including significant backing from Playfair Capital, Chandaria Industries, and the U.S. government’s Development Finance Corporation (DFC), Mobius Motors struggled to maintain financial stability. Mounting debts, unpaid suppliers, and salary arrears eventually led shareholders to vote for liquidation on August 5, 2024, in accordance with Kenya’s Insolvency Act 2015.
