Founded 14 years ago, Mobius Motors has been known for its rugged, locally assembled vehicles designed for the African terrain. However, financial difficulties, competition from second-hand imports, and low demand led the company to near collapse.

Startup Shutdown: Kenya’s Mobius Motors Grounds to a Halt

With the acquisition, Silver Box has committed to restarting Mobius’s production, beginning with the Mobius 3 model in July 2025. A new 4×4 off-road SUV is also expected to launch by December 2025.

As part of the transition, Silver Box has appointed John Kavila as chief operating officer (COO) to push the company forward. Kavila, who has wide experience in manufacturing, operations, and customer service, commented:

“I am deeply honored to lead Mobius Motors, a company renowned for its bold and innovative approach in creating a truly unique Kenyan brand,” he said. “Mobius Motors has built an exceptional foundation, and we are eager to build on this success by focusing on expanding our market share and increasing accessibility for Kenyan consumers.”

Outgoing CEO Nicolas Guibert, who helped keep the company afloat, said: “Among the three bids, Silver Box’s offer stood out as the best choice—not only for ensuring the continuity of Mobius but also for driving its growth and success in the next phase,” he stated.

Mobius Motors was founded in 2009 by British entrepreneur Joel Jackson with the vision of producing affordable and durable vehicles suited for African roads.

Not able to meet its initial goal, the company struggled to compete with imported second-hand vehicles. With the new backing from Silver Box, there is hope that Mobius Motors can overcome these challenges and regain competition in Kenya’s automotive industry.

While Silver Box has committed to maintaining and expanding the brand, the investment is hoped to help reposition the company in a competitive market. Mobius Motors can make a successful comeback under its new leadership.

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The company, known for its rugged, low-cost SUVs designed for Africa’s challenging roads, has been having financial difficulties that ultimately led to its shutdown. 

This is despite raising $56 million in funding from investors including Playfair Capital, Chandaria Industries, the US government’s Development Finance Corporation (DFC), and PanAfrican Investment.

Founded in 2009 by British investor Joel Jackson, Mobius aimed to provide affordable and durable vehicles for the African market. Its flagship model, a no-frills SUV, was priced lower than imported second-hand vehicles, a common choice for many African consumers. 

Despite the initial goal, the company faced several challenges including the Kenyan government’s introduction of new taxes that eroded Mobius’ competitive advantage, making its vehicles less affordable.

The company aimed to provide affordable vehicles for small and medium enterprises in sectors like infrastructure and agribusiness, but it faced intense competition from cheaper second-hand imports from countries like the UK and Japan. 

Mobius initially launched a basic SUV model priced at $10,000 (approximately KES 1.3 million), a fraction of the cost of standard SUVs in Kenya. While it released updated models, Mobius II and Mobius III, in 2018 and 2021, the company failed to gain traction in the market.

Mobius Motors had linked its production to pre-orders, requiring a refundable deposit of $384 (KES 50,000), which likely limited the uptake of its vehicles. Attempts to relocate production outside Kenya were dismissed due to logistical challenges.

In a statement, Mobius director Nicolas Guibert announced the company’s decision to enter voluntary liquidation. Creditors are set to meet on August 15th to discuss the distribution of assets.

Mobius’ mission to produce home-grown vehicles in Africa, a sector that has seen increased investment from both local initiatives and global automakers like Toyota and Volkswagen, has come to an end.

These companies, too, face the challenge of competing against the influx of second-hand imports in the region.

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