Metro Africa Xpress (MAX) Lays Off 150 as It Goes All-In on Electric Vehicles

Metro Africa Xpress (MAX), a Nigerian mobility financing startup, has laid off about 150 employees, roughly 30% of its workforce.

The layoffs happened in January 2025 as the company shifts to financing only electric vehicles (EVs) in Nigeria, Ghana, and Cameroon.

MAX previously financed both electric and fuel-powered vehicles under a rent-to-own model.

A company spokesperson said the layoffs were necessary for this transition. MAX aims to finance 120,000 EVs, three times the total number of vehicles it financed in 2024, with 5,000 EVs expected in the first quarter of 2025.

Many employees were caught off guard by the layoffs. One former employee said they first thought it was a performance-related issue until they realized it was a mass layoff.

The terminations were immediate, and no financial severance was provided. MAX said it appreciates the contributions of those affected and is offering health insurance and job placement support but did not confirm the exact number of layoffs.

MAX has also introduced cost-cutting measures, such as reducing energy use and limiting generator reliance in its offices.

A senior employee said these steps align with MAX’s goal of lowering its carbon footprint.

The company confirmed these changes, saying it is investing in energy sources for its locations and battery swap stations.

MAX has been growing its EV presence. In November 2024, it partnered with PASH Global, an impact investment firm, to build a $10 million network of EV charging stations in Nigerian cities.

While MAX once manufactured its own electric motorcycles, it now sources them from manufacturers like Spiro.

A company source said each vehicle costs about $900, a major investment given MAX’s target of financing 120,000 vehicles.

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This shift to an all-EV fleet requires substantial capital. Since 2019, MAX has raised around $63 million through equity and debt financing.

In 2020, it launched a ₦10 billion bond program and secured a ₦400 million one-year fixed-rate note.

Its most recent funding, a $24 million private placement in 2022, helped attract investors without public solicitation.

MAX’s restructuring comes at a tough time for Nigeria’s transport sector. Rising fuel prices and inflation are putting pressure on commuters, and vehicle ownership costs have surged.

Industry leaders have urged the government to invest in transport infrastructure and job creation.

The managing director of XpressRide highlighted the need for affordable and reliable transport options and policies that support fuel-efficient vehicles suited to Nigerian roads.

As the industry moves toward greener transport, companies like MAX must balance sustainability with economic realities.

In the past, labor issues have led to worker strikes over unpaid salaries, disrupting transport services.

These challenges underscore the need for business models that support both workers and long-term growth.