Nigerian Startup MAX Hits Profit With Electric Vehicles

For years, skeptics said electric vehicles couldn't work in Africa, but a Nigerian startup just proved them wrong while turning a profit.

Metro Africa Xpress (MAX) announced it raised $24 million in funding after reaching profitability in Nigeria, where it helps drivers afford electric motorcycles and tricycles. The company now operates an assembly facility that can produce 3,600 electric vehicles per month.

The funding round attracted investors including Equitane DMCC, Novastar, and Endeavor Catalyst, signaling growing confidence in African clean energy. MAX plans to use the capital to support 250,000 drivers by 2027 and expand across West and Central Africa.

The company's turnaround story is particularly impressive given where it stood just a year ago. In 2023, MAX laid off 150 employees and pivoted hard into electric vehicle financing, betting everything on a model that many thought was too risky for African markets.

That gamble paid off. MAX now helps commercial drivers afford electric vehicles through a pay-as-you-go system that prioritizes steady cash flow. The company has deployed over $56 million in fleet financing and successfully collected $44 million in repayments.

The secret to MAX's success lies in understanding local needs. Founder Adetayo Bamiduro recognized that volatile fuel prices and declining battery costs were making electric vehicles increasingly attractive to drivers who depend on their vehicles for daily income.

MAX partners with manufacturers like Yamaha, Hero, and Spiro to deliver vehicles built for African road conditions. The company also developed battery-swapping infrastructure and fleet management systems that keep drivers on the road longer.

The Ripple Effect

MAX's profitability sends a powerful signal across the continent. About 20,000 electric vehicles already operate on Nigerian roads, and the sector is expected to grow at 30.6% annually as more entrepreneurs see evidence that the model works.

For the 250,000 drivers MAX hopes to serve by 2027, the impact goes beyond environmental benefits. Electric vehicles cost less to operate than gas-powered alternatives, putting more money in drivers' pockets while reducing urban air pollution.

The company's success also demonstrates how African startups can build profitable businesses by solving local problems with locally-adapted solutions, rather than simply importing models from other markets.

Clean transportation in Africa isn't a future promise anymore—it's a profitable reality today.