The Series A round combines $8 million in equity and $5 million in debt, with backing from investors including Value Chain Innovation Fund, UTokyo Innovation Platform, Nagase & Co., Persistent ACV Fund, For Seasons, CBC Co., Inclusion Japan, and British International Investment (BII).

The new capital comes at a time when Ethiopia is positioning itself as a key market for electric mobility, supported by policy shifts to reduce reliance on fossil-fuel-powered vehicles and expand sustainable urban transport options.

Dodai, founded three years ago, assembles electric motorcycles locally and has already deployed more than 2,000 units across Addis Ababa.

The company’s model is built around battery-swapping stations, allowing riders to exchange depleted batteries for fully charged ones within minutes, an approach designed to bypass challenges such as limited charging infrastructure and inconsistent power supply.

With the new funding, Dodai plans to deepen its footprint in the Ethiopian capital.

Over the next year, it aims to grow to 3,000 battery-swapping users and roll out 30 stations across the city, targeting sectors such as delivery and informal transport where demand for affordable mobility is high.

Leslie Maasdorp, CEO of British International Investment, said the deal reflects the growing importance of frontier markets like Ethiopia in the global shift to cleaner transport.

“Ethiopia is emerging as one of Africa’s most compelling frontier markets for the clean mobility transition, where the right capital can unlock outsized impact and long-term value,” he said.

“BII’s investment will support Dodai to scale critical e-mobility and battery-swapping infrastructure and accelerate the development of a commercial market for electric motorbikes. By expanding access to affordable transport, Dodai is empowering entrepreneurs, creating jobs, and helping build a stronger, more competitive urban economy in Ethiopia.”

The company says its early traction demonstrates the commercial viability of electric two-wheelers in the market. Many of its riders rely on the bikes for income through delivery and transport services, benefiting from lower operating costs compared to fuel-powered alternatives.

Hilina Legesse, Dodai’s Senior Vice President and Head of Corporate, said the funding signals strong confidence in the company’s approach.

“This investment reflects growing confidence from international investors in our team’s ability to turn real-world challenges into opportunities to solve,” she said.

Dodai’s expansion comes amid rising interest in electric mobility across Africa, particularly in urban centers where motorcycles play a central role in transport and logistics.

The company’s long-term ambition includes scaling its network beyond Ethiopia into other major African cities, as demand for low-cost, sustainable transport continues to grow.