Autochek secures $13.1m seed fund, targets improved financing penetration

By Chinwendu Obienyi In a bid to bolster its core auto loan processing platform and deepen its footprint in West Africa, Autochek, an automotive technology company facilitating auto financing across Africa, has announced that it secured $13.1m in seed funding. Co-led by follow-on investors, TLcom Capital and 4DX Ventures, the round also included participation from […] The post Autochek secures $13.1m seed fund, targets improved financing penetration appeared first on The Sun Nigeria.

Autochek secures $13.1m seed fund, targets improved financing penetration

By Chinwendu Obienyi

In a bid to bolster its core auto loan processing platform and deepen its footprint in West Africa, Autochek, an automotive technology company facilitating auto financing across Africa, has announced that it secured $13.1m in seed funding.

Co-led by follow-on investors, TLcom Capital and 4DX Ventures, the round also included participation from existing investors, Golden Palm Investments, Enza Capital, Lateral Capital as well as new participants; ASK Capital and Mobility 54 Investment SAS (the venture capital arm of Toyota Tsusho Corporation / CFAO Group).

According to a statement from the company, the new funding, secured just under a year after Autochek’s $3.4 million pre-seed raise, will be deployed to bolster its core auto loan processing platform and deepen its footprint in West Africa, starting with its recent entry into Cote d’Ivoire. Additionally, the company is rapidly expanding its footprint across East Africa, following its recent acquisition of Cheki Kenya and Cheki Uganda, East Africa’s leading online auto marketplace.

The company’s has now partnered with 70 banks across the continent including leading regional players such as Access Bank, Ecobank, UBA, Bank of Africa and NCBA Bank. Speaking on the next phase of Autochek’s rapid growth following its fundraise, Etop Ikpe, Founder and CEO of Autochek, said, that the company’s driving force is to increase financing penetration on the continent while adding that the firm is amazed by the market adoption rate and the support from our banking partners in the countries we operate in.

“We stepped into this space knowing we were tackling one of the most significant challenges for Africa’s automotive sector – the lack of a simplified, digital-first financing process. By combining our expertise and networks, we have been able to make an impact in the automotive sector.

We are extremely delighted with the progress we’ve made in a short amount of time. With this funding and the support of our strategic investors, the entire team at Autochek is dedicated to delivering exceptional service for customers and partners, as well as deploying our technology across Africa”, Ikpe said.

Corroborating him, Andreata Muforo, Partner at TLcom, noted that Autochek has achieved significant traction in one of Africa’s key verticals and is making impressive progress in bringing transparency and efficiency in this complex and fragmented industry. According to him, the foundation of its growth under strong leadership of its CEO, Ikpe, gave TLcom the confidence to initially invest in Autochek in 2020.

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