In a move many say is over ambitious, a Nigerian bus-hailing startup, Plentywaka, has raised a pre-seed capital of $300,000 which company sources say it will deploy in its ongoing expansionist agenda focusing on the nation’s capital Abuja. Plentywaka which seems to fill the space left by the failed OBus launched last year by Opay was able to attract a pre-seed round investment in a funding drive led by Niche Capital, Microtraction and EMFATO Holdings. Plentywaka which until recently was a portfolio company under CrowdyVest Holdings but due to series of reshuffling the holding company is now operating under a new name of EMFATO Holdings. Plentywaka; crowdfunding agritech startup, Farmcrowdy; and investment platform, Crowdyvest are all subsidiaries of the newly-formed holding company.
Established in 2019 in Lagos, Plentywaka has gone on to do over 100,000 rides across 7 routes in the commercial city with over 40,000 customers in the process. After operating in Lagos for a year, the company is eyeing the capital city Abuja armed with the new capital raise. The choice of Abuja was informed by the fact that most professionals in the city rely on taxis to get to their destinations and this can be expensive. Plentywaka is positioning itself as a solution by identifying a significant gap in the city’s public transport space.
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According to the company, it will launch with five routes and customers will get free travel for a week. Also, routes will include Lugbe, a suburban area in Abuja to Area 1, Garki, a popular commercial and administrative area in the city.
The pre-seed capital will not only be used for expansion to Abuja and other states. According to the company, part of the funding will be used to improve its mapping technology on both Android and iOS apps, its customer experience, and to introduce better payment options.
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Johnny Enagwolor, co-founder and managing director of the company said that securing investment and expanding into Abuja in the midst of a pandemic speaks volumes of the demand for the service Plentywaka provides. “We are excited to have investment partners on board that see and believe in our vision. Plentywaka in Abuja brings us closer to transforming transport in Nigeria, one state at a time.”
Dayo Koleowo, a partner at Microtraction, one of the investors in the round, said the investment firm was impressed with Plentywaka’s progress since launching in the third quarter of last year. The aforementioned progress and the problem the startup is trying to solve in large cities are some of the reasons Microtraction is backing the one-year-old startup. “The distressful and uneasy experience by the majority of these commuters, especially in large cities is evident. We are backing the Plentywaka team to change that experience for commuters.”
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On the company’s efforts during the pandemic, it launched its Staff Bus Solutions in May to ensure a safer commute for its staff customers. Then in June, the company expanded its offerings in Logistics by Plentywaka, a same-day delivery logistics service.
Kelechi Deca
Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry