Lagos State Government-backed e-hailing platform Lagride has secured a $100 million financing facility from United Bank for Africa to accelerate the expansion of its Drive-To-Own program. The funding is designed to help thousands of drivers transition from short-term vehicle rentals into structured ownership and small business operations. The partnership highlights growing confidence from financial institutions in technology-enabled mobility platforms with strong governance and data-driven models.
A Major Financing Boost for Driver Ownership
According to Lagride, the $100 million facility will support the transition of approximately 3,500 drivers into vehicle ownership over the coming years. The initiative aims to reduce dependence on daily rental arrangements that often limit income stability and long-term wealth creation for drivers. By enabling ownership, Lagride positions drivers as economic participants rather than purely service providers within Lagos’ transport ecosystem.
The financing reflects a broader shift in how banks view urban mobility platforms. With access to reliable operational and performance data, institutions such as UBA are increasingly willing to underwrite driver-focused asset financing. This marks a significant step toward formalizing Nigeria’s fragmented ride-hailing and informal transport sectors.
Inside Lagride’s Drive-To-Own Model
Lagride’s Drive-To-Own program allows eligible drivers to gradually acquire vehicles based on predefined performance and repayment criteria. Drivers must demonstrate consistent earnings, strong repayment behavior, safety compliance, and operational discipline to qualify. This structured approach reduces credit risk while providing drivers with a clear pathway from renting to ownership.
Over the past year, Lagride rebuilt its onboarding and operational systems to support this model. The platform introduced performance-led rental structures that generate reliable usage and repayment data over 90-day cycles. This data-driven framework enables financial partners to assess driver creditworthiness with greater transparency and confidence.
Leadership Perspective and Strategic Intent
Lagride Chairman Chief Diana Chen described the program as a long-term economic mobility strategy rather than a short-term incentive. She emphasized that the platform was designed to help drivers evolve from operators into owners, and eventually into fleet partners and investors. According to Chen, the partnership with UBA brings thousands of drivers closer to owning productive assets and building sustainable financial futures.
Chen noted that Drive-To-Own is intended to lay the foundation for enterprise building and scalable wealth creation within the mobility sector. By creating governance structures and financial discipline, Lagride aims to unlock broader access to capital for drivers. This approach positions the platform as an intermediary that bridges individual operators and formal financial institutions.
UBA’s Role in Financial Inclusion
UBA Group Managing Director and CEO Oliver Alawuba described transportation as a critical pillar of inclusive economic growth. He said the partnership aligns with the bank’s mission to finance real-sector initiatives that create jobs and empower individuals. Alawuba added that Lagride represents the type of structured, data-backed platform UBA is committed to supporting across Africa.
The repayment structure for the facility has been designed to ensure affordability and long-term sustainability. Alawuba explained that the tenure allows drivers to transition smoothly from renting vehicles to owning them outright. He also noted that interest in the model is already emerging from other Nigerian states.
Operational Expansion and Clean Mobility Push
The new financing comes as Lagride continues to scale its fleet and operational footprint. The company recently added 100 electric vehicles and plans to roll out more than 3,000 EVs over the next three years. This expansion supports Lagos State’s broader push toward cleaner and smarter urban mobility solutions.
In addition to electric vehicles, Lagride plans to introduce compressed natural gas vehicles under the program. Maintenance for the fleet will be handled by CIG Motors, ensuring standardized servicing and vehicle safety. These measures aim to improve reliability, road safety, and passenger experience across the platform.
With the $100 million UBA facility, Lagride gains significant financial capacity to execute its growth and driver empowerment strategy. The partnership strengthens Lagos’ evolving mobility ecosystem by formalizing driver financing and expanding access to asset ownership. If sustained, the model could redefine ride-hailing economics in Nigeria and position drivers as long-term stakeholders in the country’s urban transport future.