Kofa, the Ghanaian energy technology company focused on revolutionizing urban energy access in Africa, has closed an $8.1 million pre-Series A funding round to accelerate the expansion of its AI-powered battery-swapping network. The company aims to deliver clean, reliable energy solutions for motorcycles, households, and small businesses across key African cities, with initial focus on Ghana and Kenya.
The round consists of $3.25 million in equity, $4.315 million in debt, and $590,000 in grants. It was co-led by E3 Capital, one of Africa’s largest early-stage climate-tech venture capital firms, and Injaro Investment Advisors, a Ghanaian private capital manager. Shell Foundation, with co-funding from the UK’s Transforming Energy Access (TEA) platform, contributed debt and grant capital. The round also attracted European angel investors, including Richard Thwaites, founder of Penso Power — a leading battery infrastructure firm acquired by BW Group in 2024.
Scaling AI Energy Infrastructure in Africa
Kofa plans to use the funding to deepen its footprint in three major cities across West and East Africa. A key priority will be expanding its AI-driven battery management platform, which the company describes as a “game-changing differentiator” critical for optimizing and scaling its battery swap network.
Kofa’s system currently handles over 200 daily battery swaps, achieving a 99% charge rate with swap times averaging under two minutes. Its proprietary IoT-based platform tracks battery usage, forecasts demand, and optimizes distribution — reducing downtime and cutting fuel costs for end users.
The company’s mission is to transition African urban centers from unreliable and polluting fossil fuel sources to cleaner, smarter alternatives.
“This funding validates our vision to transform urban Africa’s energy landscape,” said Erik Nygard, CEO and founder of Kofa. “For this transition to succeed, several key elements must come together: scaling local manufacturing, expanding swap infrastructure, attracting capital, and deploying AI to optimize the ecosystem.”
Beyond Batteries: Building a Full Energy Ecosystem
Since its 2022 founding, Kofa has evolved beyond a battery provider into a full end-to-end ecosystem enabler. In addition to managing infrastructure, Kofa partners with manufacturers, distributors, and financiers to facilitate broader adoption of clean energy products.
This includes licensing its IP to partners like TailG, a global original equipment manufacturer (OEM), which is now mass-producing Kofa’s electric motorcycle design — one of the first built from the ground up based on African rider input.
The company’s asset-light model leverages Special Purpose Vehicles (SPVs) to finance infrastructure like batteries and swap stations. In Kenya, it partners with AutoPax, a local distributor, with additional partnerships set to launch in Ghana.
Local Capital, Local Impact
Investors emphasized Kofa’s blend of technology, capital efficiency, and local impact.
“Kofa stands out by building an entire ecosystem that’s capital-efficient and scalable,” said Andrew Darge of E3 Capital. “This aligns with our mission to back low-carbon, high-impact solutions across Africa.”
“We’re proud to back a solution that directly benefits communities,” said Jerry Parkes, Managing Director of Injaro Investment Advisors. “This is also about giving Ghanaian pensioners access to investment opportunities typically reserved for global institutions.”
“Kofa's technology has huge potential for scale,” said Jonathan Berman, CEO of Shell Foundation. “It’s exciting to see this raise enable expansion into new national markets.”
Kofa is responding to urgent energy needs in African cities. Many urban centers depend on backup generators for up to 40% of electricity, while motorcycles in Africa consume 40–60 billion liters of petrol annually — emitting 10x more hydrocarbons per kilometer than cars.
With the funding boost, Kofa will scale its infrastructure and deepen its tech stack, aiming to make clean energy not only sustainable, but the most logical and cost-effective solution for urban users.
Its battery-swapping stations are designed with user ergonomics in mind — including easy-to-lift handles and top-down loading. Paired with predictive AI, a growing distributor network, and accessible financing models, Kofa believes it’s positioned to catalyze a continental shift in how African cities access energy.
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