OX Delivers signs franchise agreement with partner in Africa

OX truck in Rwanda (Photo: OX Delivers)

UK-based light commercial manufacturer OX Delivers has signed an agreement which will see its first franchise partner start operations across East Africa.

OX East Africa will take over existing operations in Rwanda, while overseeing future expansion into Uganda, Kenya, Tanzania and Burundi.

The $163 million multi-year deal will cover delivery of a fleet of OX electric trucks, along with a subscription to the company’s tech platform and vehicle maintenance services.

OX Delivers will be responsible for all future product development, manufacturing and maintenance of the vehicles and platform.

Colin Tebbett, CEO, OX East Africa, commented: “Over the last three years, OX Delivers has made a significant positive impact on the lives of our 5,000 customers in Rwanda. Some of our customers have seen their sales increase by five times simply by using the OX Delivers service. This new franchise will allow us to strengthen our commitment to Rwanda as well as expand into neighbouring countries to radically transform the lives of thousands more traders.”

OX Delivers operates on a transport-as-a-service model using what is billed as the first purpose-built electric truck for the Global South.

This year, OX delivered its best performance since starting pilot operations in Rwanda, generating revenue of more than $920,000 in the ten-month period between January and October.

OX electric trucks are purpose-built for the unique challenges of the poor road infrastructure found across Africa and other regions in the southern hemisphere. According to the company, the trucks are 10 times cheaper to operate than existing alternatives.