eBusiness Weekly
Mureza’s foray into the electric vehicle (EV) market represents a huge stride for this African e-wheeler EV manufacturer.
In an interview with Mureza Founder & IDM Tatenda Mungofa, Elevation News gained insights into the exciting developments planned for the company in the coming years.
The year 2023 marked a significant milestone for Mureza as they successfully expanded their team and implemented corporate governance restructuring across the entire group. Guided by a capable team with diverse skill sets and extensive experience, the company is steadily working towards realising its vision.
While presently operating in South Africa, Mureza has set its sights on expanding into Zimbabwe, positioning itself as a standout player in the African EV market.
As the demand for EVs in the continent grows, an industry potentially worth billions of dollars remains largely untapped.
Companies like Mureza are strategically positioning themselves to capitalise on this emerging market, making moves to navigate the evolving landscape successfully.
Mureza has made remarkable progress in establishing key partnerships for outsourcing and acquiring factory equipment and suppliers and partnered with essential collaborators for vehicle development in South Africa.
This positions the company to effectively create and manufacture vehicles, enabling control over pricing for the benefit of the African market.
In a financially stable position, Mureza has received a substantial investment from a reputable black investment firm, including a confirmed cash injection of R35 million (US$1,9 million) and a finalised R900 million (US$50 million) deal as a share subscription facility for listing on the JSE.
This collaboration involves one of the top ten global funders who share confidence in the company’s vision and are committed to supporting Mureza in attaining its listing objectives.
The upcoming vehicle models from Mureza, particularly the PRIM8 EV, showcase sleek and elegant designs.
Developed in-house by a dedicated team of designers, the PRIM8 EV is set to be among the first to hit the market once the proof of concept is approved. This achievement is a significant game-changer for the African brand, instilling pride in local manufacturing for achieving such a remarkable feat.
Demo units of Mureza vehicles are expected to be available in South Africa, Zimbabwe, Namibia, and Zambia by the second quarter of 2024, with pre-orders opening on the website on January 26, 2024.
Founder, Tatenda Mungofa highlighted the streamlined process that has allowed Mureza to bring the PRIM8 EV to fruition without the hefty price tag associated with similar concepts.
By reducing costs and lead time in the design process, Mureza has levelled the playing field, enabling a focus on developing more products locally. The strategic investment in research and development positions Mureza to generate long-term value for the company.
Independence from external stakeholders ensures flexibility to pursue innovative endeavours without being unduly influenced by external factors.
The company is set to produce a minimum of 50 000 units of the PRIM8 EV over five years, with plans to escalate production to 1 million units within a decade.
Partnering with charging infrastructure companies globally, Mureza anticipates establishing an extensive charger network across Africa to support the seamless rollout of its electric vehicles.
In another significant investment, Mureza is constructing a substantial factory in the Pilanesberg, Mogwase industrial precinct, forming the anchor project for the proposed Bojanala Special Economic Zone (SEZ).
A partnership with the North West Development Corporation (NWDC) aims to establish the largest automotive manufacturing hub in the region, covering an extensive 300 hectares of land. This ambitious project, valued at R6 billion, is expected to be completed by mid-2025.
Founder, Mungofa emphasised Mureza’s broader mission of addressing transportation challenges in Africa, extending beyond four-wheelers.
He said Mureza is engaged in an ongoing project in Kenya focusing on the development of two-wheeler EV motorcycles tailored for that market.
Starting in 2024, all Mureza products will be powered by either their EV platform or Internal Combustion Engine (ICE) drivetrains. Recognising that the transition to EVs in Africa will take 10-15 years, Mureza is strategically positioning itself as a market leader on the continent.
Optimistic about developments in Zimbabwe, especially regarding lithium mining and processing, Mureza’s subsidiary, Africa Battery Technologies (ABT), focuses on EV battery production in South Africa.
Collaboration with key players in the industry aims to develop batteries and catalyse the growth of lithium value chains in Zimbabwe and neighbouring countries.
The proximity of mineral resources for EV battery production minimises logistics costs, providing Mureza with a competitive advantage by lowering battery production costs compared to competitors.
Capitalising on the availability of these minerals, Mureza projects that its EV will be priced at around R225 000 (US$12 000), making it an attractive and cost-effective option for consumers.
Under ABT, Mureza has secured over 10 000 tonnes of lithium ore from investment partners in Zimbabwe, which has already been extracted.
The current focus is on processing this ore within the value chain to meet the growing demand for EV batteries.
The company is set to grow exponentially in a few years, becoming the pride of Africa within the EV and car manufacturing sector. — Elevation News
