Struggles escalate, leading to former CEO Obi Ozor's return to the top position
Kobo360, once hailed as Africa's "Uber of trucks," is facing financial troubles. The logistics startup, which aggregates over 50,000 trucks and expanded into multiple countries, has seen leadership churn, stalled haulage operations, and accumulated debts amounting to at least ₦10 billion [1].
In a bid to revive the company, Obi Ozor, co-founder and former CEO of Kobo360, has returned to take control. His plan involves reacquiring the company from investors and operating it independently without further venture capital injections, aiming to reposition the freight logistics startup for sustainable growth [1].
The specific operational or financial strategy details of this revival plan are less explicit. However, Ozor's focus on traditional financing and haulage deals suggests a focus on internal restructuring and a leaner, more self-sustaining business model [1].
The company's CEO position remains vacant, and several senior executives have left, leaving Kobo360 with skeletal staff. In October 2024, Ciku Mugambi, the CEO at the time, stepped down [1].
Reports suggest that Kobo360 has lost access to customers' domiciled accounts due to unserviced debt, a financial partner cutting off funding. This loss significantly reduced the company's trip volume, revenue, and overall growth [1].
Investors have reportedly written down their shares in Kobo360, effectively exiting the company [1]. The company secured $20 million in Series A funding in 2019 and $48 million in Series B in 2021, but it also raised around $10 million in debt financing from unspecified lenders [1].
Despite the challenges, Kobo360 has secured corporate clients like Unilever, Dangote, and DHL [1]. The International Finance Corporation (IFC) denies selling its shares to Ozor [1].
As Ozor works towards reviving Kobo360, the logistics startup continues to seek traditional financing and haulage partnerships to restart operations. The future of this African logistics giant remains uncertain, but with Ozor at the helm, there is hope for a comeback.
[1] Sources: Various online publications, March 2025.
- Obi Ozor, in an attempt to revive Kobo360, plans to reacquire the company from investors without additional venture capital, aiming for a self-sustaining business model.
- Kobo360, once a fintech startup in the logistics sector, has seen its business operations stall, accumulated debts, and lost access to funding, leading to a significant reduction in growth.
- Despite the financial troubles, Kobo360 has secured corporate clients like Unilever, Dangote, and DHL, demonstrating potential for its business in the logistics industry.
- In his bid to revitalize Kobo360, Ozor focuses on traditional financing and haulage partnerships, indicating a strategy of internal restructuring for future growth and sustainability.
