Shuttlers, Nigeria’s leading tech-enabled scheduled mass transit company that provides individuals and corporate passengers with schedulable and affordable…
Shuttlers, Nigeria’s leading tech-enabled scheduled mass transit company that provides individuals and corporate passengers with schedulable and affordable multi-staff bus and ride-sharing options via an app, has raised $4 million in equity funding to accelerate the growth of its transportation solution in Nigeria.
This latest round of funding comes 18 months after the mobility company raised $1.6 million led by Chicago and Africa-focused investment firm VestedWorld to scale within and outside Nigeria.
According to the statement seen by Technext, Verod-Kepple Africa Ventures (VKAV), a Pan-African-focused venture capital firm, led the funding round. It also saw participation from other investors, including VestedWorld, SheEquity, CMC 21 & Alsa, and EchoVC. VestedWorld has invested in nearly 30 companies in East and West Africa and has been a continued partner in Shittler’s journey.
Speaking on the importance of this round, Damilola Olokesusi, the CEO and co-founder said that the funding it will be used to build up its infrastructure.
We are thrilled to have VKAV, VestedWorld, SheEquity, CMC 21 & Alsa, and Echo VC as partners in our mission to transform mass transit experience around the world.
This additional funding will allow us to build the infrastructure we need to power mass transit and expand our reach to more communities in Nigeria. We believe that shared mobility can have a transformative impact on our society, and we are committed to driving that change.
Damilola Olokesusi, the CEO of Shuttlers.
Explaining that, even before receiving their first financing, the Shuttlers team had never engaged in marketing or public relations activities despite having the largest market share in bus hailing and sharing space. With this new funding, the business is optimistic that its infrastructure will improve, particularly in competitive markets.
There’s no doubt that we are miles apart from the competition, in terms of the number of customers, the technology and routes. We have built an infrastructure that allows us to expand into different geographies within and outside Nigeria and supports multiple stakeholders, from partners and drivers to marshals and administrative bodies. Our main focus is to take over the bus-sharing space and be this huge startup that, you know, is very profitable,” She added.
Read Also: “The future of mobility is technology-driven”: Key takeaways from GIGM’s African Mobility Conference
About Shuttlers
Damilola Olokesusi started Shuttlers in 2016 to address the issue of inefficient transportation costs and provide companies with better mobility options for their employees in Lagos.
The company primarily emphasises providing corporate trips and commutes in and around Lagos. It provides professionals with a personal car, bus, or okada ride to work, allowing them to avoid the traffic congestion that is so prevalent in Lagos.
Other benefits of the app include live bus tracking, traffic-based routing, digital payments, and ride schedules. It offers three funding options: Companies pay full fares for employees, companies share fares with employees, and individual customers pay fares on their own, unaffiliated with any partner company. The prices vary between N850 ($1.96) and N1300 ($2.60).
Shuttler’s growth
In July 2016, Shuttlers raised a non-equity assistance funding investment round from She Leads Africa (SLA). It was also part of the ten early-stage businesses that have been accepted into the 2016 SLA Accelerator Programme.
It doubled down on momentum in November 2021. According to the Lagos-based mobility startup, it has over 100 buses plying 30 routes throughout the city and nearly 260 buses plying 300 routes daily across Lagos and Abuja.
According to a press release, Shuttlers has also increased its fleet by 150% and expanded its routes by 25x, with a 280% increase in passengers moved daily. It also has 80+ business clients, including Interswitch, MainOne, and Paga, and sells over 9,000 tickets every day to individual and corporate passengers. It claims to have over 70,000 users and has logged 3 million trips.
We believe that Shuttlers has the potential to transform the way people move around the world. VestedWorld has invested in nearly 30 companies in East and West Africa and we are proud to be a continued partner in Shuttlers’ journey.
said Nneka Eze, General Partner at VestedWorld.
The company has already built a loyal customer base in Lagos and is rapidly expanding its services to other cities in Nigeria. The mobility startup hopes to expand its services to over five other cities nationwide by next year.
Read Also: Shuttlers raises $1.6m seed funding to expand its bus-hailing business across Nigeria