Startups

Peach Cars Secures $11M Series A Led by Suzuki Global Ventures to Transform Africa’s Used Car Market

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Nairobi-based startup Peach Cars has announced a significant milestone in its journey to revolutionize Africa’s automotive marketplace, securing $11 million in Series A funding led by Suzuki Global Ventures (SGV). This strategic investment marks a pivotal moment for the company as it expands its digital platform across the continent, addressing critical trust and transparency issues in Africa’s fragmented used car market.

Strategic Investment from Japan’s Automotive Giants

The funding round attracted an impressive consortium of Japanese investors, with Suzuki Global Ventures taking the lead. SGV, the venture capital arm of Suzuki Motor Corporation, brings substantial automotive expertise to the partnership. Suzuki Motors commands approximately 40% of India’s new car market, demonstrating proven success in emerging economies that mirrors Africa’s potential.

“We’re inspired by Peach’s founders, who have committed themselves to Africa and tackle local challenges with meticulous, on-the-ground execution,” said Mike Sarchet, Senior Director at Suzuki Global Ventures. The investment signals Suzuki’s strategic expansion into Africa, viewing the continent as its next major frontier after India.

Joining SGV in this round are the Japan Bank for International Cooperation (JBIC), a policy-based finance institution owned by the Japanese government, and The Gogin Capital Co., Ltd., the venture capital arm of a major Japanese regional bank. Notably, Peach Cars represents JBIC’s first African startup investment under its Startup Investment Strategy, highlighting the growing confidence in Africa’s innovation ecosystem.

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Returning investor UTEC (The University of Tokyo Edge Capital Partners) doubled down with a super pro-rata investment, reinforcing their conviction in Peach’s model since leading the seed round in 2022.

Building Trust Infrastructure for Africa’s Mobility Future

Founded by CEO Kaoru Kaganoi and COO Zachary Petroni, Peach Cars operates as more than a traditional marketplace. The platform provides end-to-end solutions including real-time vehicle appraisals, financing options, vetted inspections, and comprehensive after-sale support. This full-stack approach directly addresses the three major friction points in Africa’s used car economy: trust, transparency, and access.

“For most people across Africa, buying a car isn’t just a transaction, it’s a major life event,” explained Kaganoi. “This raise isn’t just capital, it’s a vote of confidence in an African mobility model that works. One that’s customer-first, tech-enabled, and built for long-term trust.”

The automotive technology space in Africa has seen significant traction recently, with companies like Autochek securing $13.1M in seed funding and BasiGo attracting investment from CFAO Group for electric mobility solutions. This growing investor interest reflects the sector’s potential to transform transportation across the continent.

Expansion Plans and Market Opportunity

With this fresh capital injection, Peach Cars plans aggressive expansion across multiple fronts. The company will achieve full national coverage across Kenya, extending beyond Nairobi into underserved counties where access to reliable vehicle purchasing remains limited. Regional expansion into East and Sub-Saharan Africa represents the next phase of growth.

The funding will also support substantial team growth, particularly in product and engineering roles, as Peach optimizes its platform through rigorous research and development efforts. New service and inspection centers will enhance vehicle quality standards, while the company explores new verticals including genuine parts procurement, logistics, and expanded financing options.

“At Peach, we’ve spent years building for the long game,” noted COO Zachary Petroni. “From infrastructure to operations, we’re designing a system that scales trust as much as it scales transactions.”

Timing the African Automotive Boom

The investment comes at an opportune moment for African automotive markets. Industry projections indicate Africa’s vehicle market will more than double by 2030, yet buyers and sellers continue facing significant hurdles including unclear pricing, limited financing options, and low trust in fragmented offline ecosystems.

Peach’s tech-enabled approach, combined with deep local market understanding, positions the company to capitalize on this growth. The startup’s success adds to Kenya’s growing reputation as East Africa’s innovation hub, contributing to the momentum documented in recent analysis of Kenya’s thriving innovation ecosystem.

Looking Forward

As African startups continue attracting global investment, with recent data showing strong funding recovery in 2025, Peach Cars’ success demonstrates the potential for locally-rooted solutions to address continental challenges. The company’s customer-centric approach, backed by patient capital from strategic investors, exemplifies the next generation of African technology companies built for sustainable growth and lasting impact.

With Suzuki’s automotive expertise, JBIC’s infrastructure focus, and UTEC’s continued support, Peach Cars is well-positioned to transform how millions of Africans access vehicle ownership, creating a more transparent, efficient, and trustworthy automotive marketplace across the continent.

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Dickson Otieno

I love reading emails when bored. I am joking. But do send them to editor@tech-ish.com.

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